Budapest Bank and MKB will merge under MKB Bank Plc. name in the spring of 2022
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According to the plans of Hungarian Bankholding, Budapest Bank and MKB Bank, the two member banks of the banking group will merge on 31 March 2022, thus creating the basis for the unified operation of the banking group. The merged banks will temporarily continue to operate under the name MKB Bank Plc. The Takarék Group will join the merged bank in the second quarter of 2023, while Hungarian Bankholding will continuously harmonize banking operations. At the same time, the complete management of Bankholding will take over the responsibilities of the senior management of the member banks, so the operation and management of the Hungarian Bankholding group will be unified, thus simpler and more efficient. The merger plans will be approved by the owners in mid-December.
Today, MKB Bank, listed on the Budapest Stock Exchange, published the proposals of the company’s general meeting to be held on 15 December 2021, after the professional management of Hungarian Bankholding submitted a timetable to the owners for the merger of Budapest Bank, MKB Bank and Takarék Group, the creation of a superbank with a key role in the Hungarian financial market.
Budapest Bank and MKB Bank will merge
The first significant step of the triple bank fusion, the merger of Budapest Bank and MKB Bank, is planned to take place on 31 March 2022. As part of the merger, Budapest Bank will be merged into MKB Bank. The merged banks will temporarily continue to operate under the name MKB Bank Plc. Takarék Group is scheduled to join the merger in the second quarter of 2023, all the while the establishment of a unified banking operation will take place continuously.
“As a result of the intensive planning work of recent months, the timetable for the triple bank merger is established. We are convinced that with the implementation of our strategic plans, the merger and transformation of the three banks can be successfully completed, which is a unique professional task at an international level as well. Our goal is to build the most modern bank in Hungary: with core values such as stability and reliability, it will be able to radically change the customer experience related to financial services with its digital solutions,”
said Zsolt Barna, Chairman of the Board of Directors of Hungarian Bankholding Ltd.
The merger does not represent a change in the ownership structure of the banking group; Hungarian Bankholding Ltd. continue to be the owner of the banks participating in the merger process.
The products and services of Budapest Bank and MKB Bank will continue to be available on the interfaces and in the manner they used to. Following the end of March 2022 merger, customers will still be able to conduct banking affairs at their home bank branches. Hungarian Bankholding pays special attention to ensuring that the steps of the merger process take place smoothly for customers, with the usual high level of service.
Forward-looking name
The merged bank, which will be established on 31 March, will temporarily operate under the name MKB Bank Plc. The final brand name and image of the single financial institution is scheduled to be introduced in early 2023; the development of these has begun as part of a professional branding process. The goal is to build an attractive brand for customers that transforms the traditional image of financial institutions, unifies them and points to the future.
The establishment of a unified organizational management structure
From November 15, the Deputy CEOs and Managing Directors of Hungarian Bankholding will adopt the professional and employment law management of the member banks.