Slovenia postponing sale of NLB Bank

The prime minister of Slovenia, Miro Cerar, says that Slovenia will probably postpone the sale of Nova Ljubljanska Banka (NLB), but also adds that he is convinced that the country will honor its obligations to the European Commission.

Cerar explains the decision to postpone the sale by uncertainty arising from Brexit and instability in financial markets.

Cerar said that Slovania would honor its obligations from the restructuring plan, which envisions the sale of the bank by the end of 2017. If it wishes to extend the deadline, Slovian needs to ask the European Commission for the permit, and the first talks on the subject have already been had.

The Government of Slovenia is optimistic in its projections and it is expected that the bank will be sold for as much as EUR 937 million. Analysts believe, considering the general state of European banks, that it is realistic to expect up to EUR 675 million for a 75% share.

NLB made a profit of EUR 69.5 million in the first half of 2016, which is 30% more than in the same period last year, as reported by the largest state-owned bank in Slovenia.

Nova Ljubljanska banka d.d. Ljubljana

Vlada Republike Slovenije

Nova Ljubljanska Banka

NLB Bank

Government of Slovenia

Miro Cerar

sale of NLB Bank