Marfin stake in Bank of Cyprus to be investigated

The Commission for the Protection of Competition (CPC) of Cyprus has decided that the 8% stake held by Marfin Popular Bank in the share capital of Bank of Cyprus is a serious breach and in violation of competition laws and warrants a full investigation.

The CPC Board decided unanimously to launch a full investigation following its initial fact finding effort, which started on May 16, during which time, officials from Marfin Popular Bank were given the opportunity to defend their case.

In view of the full investigation now in progress, Marfin Popular Bank is denied the opportunity to engage in any dealings on the Bank of Cyprus stake and MPB also needs to ask for the permission of the CPC if wants to transfer or change the level of holding in Bank of Cyprus.

In recent weeks, MPB had been selling some of its holding in Bank of Cyprus through the Athens and Cyprus stock exchanges, with estimates now placing its stake in BOC at 7%.