The CNB comments on the sale of IPB shares

The CNB had no knowledge about the existence of an option for the sale of such a substantial (46%) stake in IPB by Saluka Investment. The fact that even the market did not know about the possibility, or terms and conditions, of the transfer of ownership of such a major part of the bank' s capital is rather startling and testifies to the lack of transparency of this transaction.

Under the Act on Banks, any investor proposing to acquire more than 10% of the shares of a bank is obliged to ask for the prior consent of the Czech National Bank. Within the last few days, Saluka Investment has expressed its intention to sell its IPB shares to a third party and has stated explicitly that one of the conditions for this transaction is the acquirers' confirmation of receipt of all the legally required approvals. The regulator has likewise reminded Saluka Investment and the possible acquirers of this fact, which ensues from the Act on Banks. Since the CNB has not been asked for its consent, it can be assumed that the transaction has not taken place, because according to the CNB's information the potential acquirers are managed by a reputable financial institution.

Nevertheless, although the CNB does not have many documents at its disposal, the seriousness of the information acquired necessitates quick preventive measures. In the past few days the CNB has contacted its partner regulators in Holland and on the Cayman Islands and has informed them about the situation, pointed out the opacity of this transaction and has asked for their co-operation. Likewise, it also intends to inform the British regulator. It remains in contact with its foreign partners.

The possibility that the payment for this transaction might be charged to IPB, and thus to the state guarantee for IBP's assets, has led the CNB to initiate an extraordinary meeting with the Ministry of Finance, the National Property Fund, IPB, ČSOB and Konsolidační banka. According to the CNB's information, ČSOB is dealing with this situation and is taking legal steps to eliminate the risk.

The situation has been analysed for some time now by groups of experts, who are constantly updating the information acquired.

Milan Tománek
CNB spokesman