Nordea, DNB sell Baltic bank stake to Blackstone

OSLO: Nordea and DNB have agreed to sell a 60 per cent stake in Baltic bank Luminor to a Blackstone private equity consortium for 1 billion euros ($1.16 billion), the two Nordic banks said on Thursday.
Luminor, the third-biggest bank in the Baltic region, was formed by the 2016 merger of Nordea’s and DNB’s operations in Estonia, Latvia and Lithuania.
While DNB plans to retain a stake of 20 per cent in the venture, Nordea has entered into a forward sale agreement with Blackstone for its remaining 20 per cent stake over the near to medium term.
“The decision for Nordea to sell the shares in Luminor is pursuant to Nordea’s overall ambition to simplify and focus operations to the Nordic core markets and become an even better bank for its customers,” the bank said.
“This is a good deal for both Luminor and the current owners,” DNB Chief Financial Officer Kjerstin Braathen said.
The transaction would not have any significant impact on its finances, while adding that Blackstone would be a solid majority shareholder, DNB said. — Reuters