Romania's financial market supervisory body ASF authorized the project filed by the European Bank for Reconstruction and Development (EBRD) for the acquisition of indirect qualified participation in the share capital of the insurance company Euroins Romania Asigurare Reasigurare [part of Bulgarian group Eurohold], according to a press release issued after the ASF Council meeting.

The EBRD signed an agreement with Eurohold to take over a minority stake below 10% as early as September 2021. The total value that the bank will pay is EUR 42 mln, Ziarul Financiar reported.

"This acquisition [...] confirms the EBRD's continued trust in the solidity of the company and the professionalism of its management," stated representatives of Euroins Romania. 

In separate news, Eurohold complains about "an organized attack" against Euroins Romania, carried out by members of ASF and individuals involved in the bankruptcy of Romanian insurer City, according to Bursa.ro quoting a statement of the Bulgarian company.

"The potential aim of the campaign could consist in the quick seizure of the insurer's assets, which would cause a liquidity crisis, with a major impact in the [Romanian insurance] sector. This could also spill over to the group's activity in Bulgaria and could have a negative impact on the membership of the two countries to the Schengen area, as well as on Bulgaria's entry into the eurozone, despite the excellent bilateral relations between the two countries," reads Eurohold's release quoted by Bursa.

Euroins Romania is indeed subject to an inspection carried out by the ASF.

In the last three years, ASF carried out 17 control actions at Euroins Romania, leading to a cumulative value of sanctions of over RON 16 mln (EUR 3.2 mln). At the same time, Euroins Romania carried out several successive capital increases in 2021 (RON 120 mln, RON 126 mln and RON 40 mln) in order to ensure smooth operations in the insurance market in Romania.

iulian@romania-insider.com

(Photo source: Inquam Photos/Octav Ganea)