On Tuesday, June 24, AstroBank announced that it had signed an agreement with Alpha Bank Group. Under this agreement, virtually all of AstroBank's banking assets and liabilities, including personnel, will be transferred to Alpha Bank Cyprus Ltd.
This step marks the creation of the third-largest banking institution in Cyprus, with a solid financial base and significant growth potential.
The transaction is expected to be completed in the fourth quarter of 2025, pending all necessary regulatory approvals. Integrating AstroBank's operations into Alpha Bank's structure will strengthen the group's position in the Cypriot market and enhance its presence in the Eastern Mediterranean. In an official statement, AstroBank emphasized that the agreement recognizes the bank's successful development over the past four years under CEO Aristides Vourrakis's leadership and that of his management team.
This is an important milestone not only for AstroBank and its employees, but also for the entire Cypriot economy. A strong, flexible and competitive bank is being created, able to effectively meet the needs of its customers and contribute to the sustainable development of the country," said Vourakis.
He also emphasized that the combined bank will have improved financial capabilities, an expanded branch network, modern digital solutions, and access to Alpha Bank's extensive international platform. Alpha Bank is one of the largest banking groups in Greece and Southeast Europe.
The transaction is a logical continuation of the previously announced agreement on basic commercial and legal terms announced on February 27, 2025.
Alpha Holdings emphasized that the move is fully in line with its strategic objectives to strengthen its presence in Cyprus and increase its operating profit. According to estimates, once the integration is completed, the transaction should:
- Increase the group's earnings per share (EPS) by around 5%,
- have a limited impact on the Common Equity Tier 1 (CET1) ratio of around 40 basis points,
- strengthen Alpha Bank Cyprus as the third largest banking organization in Cyprus.
The estimated value of the transaction at the time of completion is estimated at no less than €205 million. The implementation of the agreement will be subject to the fulfillment of standard pre-conditions, including:
obtaining regulatory approvals,
finalization of the technical and legal integration of the assets,
compliance with antitrust regulations.
The merger opens new opportunities for AstroBank's clients to access international banking products and services, and for its employees - new career horizons within a transnational structure. At the same time, the agreement demonstrates the growing confidence of international financial institutions in the stability of the Cypriot banking system and its long-term potential.