UniCredit Raises Stake in Greece's Alpha Bank to 26%

UniCredit has increased its stake in Greek lender Alpha Bank to about 26%, following the acquisition of additional financial instruments representing roughly a 5% stake. This move builds on a previous increase made three months earlier when UniCredit doubled its holding in Alpha Bank. UniCredit's CEO Andrea Orcel highlighted that the investment has exceeded expectations and remains a key growth area for the bank. Although the purchase price was not disclosed, analysts forecast that the stake will generate around 244 million euros in net profit for UniCredit next year. However, the increased shareholding is expected to reduce UniCredit's CET1 capital ratio by approximately 65 basis points, reflecting a cost to the bank's capital strength. The transaction has been positively received in Greece, underscoring the strategic partnership between the two banks.