Bank of Cyprus (BoC) said on Friday it had completed the sale of a hotel in Romania for €95 million.
The lender said it has sold its assets related to Societatea Companiilor Hoteliere Grand S.R.L, a limited liability company incorporated in Romania and owner of the JW Marriott Bucharest Grand Hotel to STRABAG SE, an Austrian stock company.
The proceeds of the sale will enhance the bank’s liquidity position, BoC said. The accounting loss from the transaction is around €1.0 million, but there is a positive impact of approximately €7 million on the Group’s capital position, after taking into account the reduction in risk weighted assets.
The sale falls under the Group’s strategy of focusing on core businesses and markets and disposing operations that are considered as non-core and is being implemented as anticipated by the Restructuring Plan.
It is also in line with the Group’s decision to gradually reduce its presence in Romania and to finally exit the Romanian market.