Piraeus Bank buys local leasing co

Piraeus Bank buys local leasing co

Piraeus Bank said it has acquired leasing company Dirent Bulgaria in a deal that is seen as a boost to the lender' operating leasing business.

The price of the 100% take-over was not disclosed.

Dirent owns 5 mln euro in assets and brings it new owner a portfolio of 120 clients.

Piraeus Bank has a further two leasing divisions - Piraeus Leasing and Piraeus Auto Leasing.

Piraeus Leasing is the nation's 5th biggest leasing firm with a market share of 5.93% and a contract portfolio worth 74 mln euro by the end of 2006.

According to data of the Bulgarian central bank, net lease receivables under financial and operating lease contracts rose 10% to 2.479 bln levs in Q1 2007 versus end-2006. The year-on-year increase was over 71.7% or 1.035 bln levs.

net lease receivables under financial lease contracts accounted for 97.8% of total receivables by end-March, adding 224.8 mln levs in the first quarter of the year.