Alpha Bank announces merger of Altius Insurance and Universal Life in Cyprus

Core Viewpoint - Alpha Bank is pursuing a strategic merger of its insurance operations in Cyprus, aiming to create one of the top three insurance groups in the country across both life and non-life sectors [1] Group 1: Merger Details - The agreement includes Alpha Bank's acquisition of all issued share capital in Altius Insurance and a merger with Universal Life Insurance [2] - The combined entity will have a member of Alpha Bank Group holding the "majority interest" post-transaction, leading to a majority stake for Alpha Bank [2] Group 2: Strategic Partnerships - Alpha Bank will form a strategic partnership with Photos Photiades Group, the main shareholder of Universal, to expand insurance activities in Cyprus and potentially beyond [3] - The current management team at Altius is expected to remain involved to support the execution of the joint strategy and manage integration risks [3] Group 3: Financial Expectations - The transaction is expected to be completed in Q3 2026, pending regulatory approvals [4] - Alpha Bank anticipates a return on capital employed (RoCET) exceeding 20%, with earnings per share growth of approximately 2%, and forecasts a net income increase of over 20% from its Cyprus operations [4] Group 4: Leadership Statements - Alpha Bank's CEO expressed confidence in shaping the Cypriot insurance market through this merger, highlighting the partnership with Photos Photiades Group as a valuable asset [5] - The merger aims to combine Universal's strong brand and leadership in Life and Health insurance with Altius' capabilities, creating a robust insurance platform with growth potential [6]