Corporate

The size of the prepayment penalty for the early pay-off of a bank loan will be directly linked to the cost of the loan, stipulates the new Consumer Lending Law that took effect on Sept 30. The scope of the law covers loans of between BGN 400 and 40,000. Most of the banks currently impose a prepayment penalty equal to 5% of the outstanding principal.
Source: Dnevnik a.m.

The new owner of the local DZI Bank, Greece's EFG Eurobank, will have to pitch a buyout offer to other shareholders within 14 days of the completion of the take-over. Late last week, EFG Eurobank announced it will pay EUR 157.8 mln for 74.26% in DZI Bank. DZI Bank traded at BGN 5.40 per share when the stock was suspended in the runup to the sale to Eurobank. The take-over deal values the shares at BGN 8.30 which, brokers said, is the new price target for the market.

The first company in Romania specialised in factoring services, member of Factor Chain International, will be inaugurated this week, ACT Media news agency reports.

The new entity is a joint-venture set up by Transylvania Bank (50%) and Intermarket Bank Vienna (50%).

So far, six banks were providing in Romania factoring services as part of their general offer to corporate clients.

Source: ACT Media News Agency