The Bank of Cyprus, along with its subsidiaries, on Monday announced the signing of a binding agreement to acquire 100 per cent of Ethniki Insurance Cyprus Ltd from Ethniki Hellenic General Insurance Company S.A.

According to the announcement, the acquisition, valued at €29.5 million in cash, is subject to regulatory approvals and is expected to be completed in the second half of 2025.

“Ethniki Insurance Cyprus Ltd is an established market player in the life and non-life insurance sectors in Cyprus, with a market share of 2 per cent and 4 per cent respectively,” the bank said in its announcement.

“Upon completion of the transaction, the group will further strengthen its leading position in the insurance market in Cyprus,” it added.

What is more, the announcement mentioned that the transaction forms part of the group’s wider strategic aim to expand its insurance operations and enhance its diversified business model.

According to estimates, the group’s gross written premiums and net insurance result will rise by 15 per cent and 10 per cent respectively.

This is expected to increase the Non-Net Interest Income (Non-NII) contribution to the group’s overall revenues.

Finally, the announcement pointed out that Deloitte Limited is acting as the financial and actuarial advisor to the group in connection with the transaction, while Chryssafinis & Polyviou LLC is providing legal and competition counsel.