OTP to acquire Hungarian bank MKB?

(Photo: eKapija)

Any purchase would help OTP to consolidate its position as Hungary's biggest bank and conform to government plans to move banking assets from foreign into domestic hands.

MKB had assets of 6.6 billion euros at the end of 2013 and a market share of about 10 percent for retail and corporate lending.

Selling MKB would also be a huge step forward for BayernLB, whose results have been burdened by the loss-making Hungarian unit that reported a loss of EUR 409 million last year alone.

OTP and BayernLB declined to comment for this story.