Piraeus Bank CEO Christos Megalou sought to reassure investors about the impact of the bank’s potential acquisition of a 70% stake in Ethniki Asfalistiki (National Insurance), emphasizing that it will not compromise future profitability or dividend distribution.
Speaking during Monday’s earnings call for the bank’s 2024 financial results, Megalou reaffirmed Piraeus Bank’s commitment to delivering value to its shareholders.
While declining to provide further details on the ongoing exclusive negotiations with CVC Capital Partners for the acquisition, Megalou stressed that dividend payments remain a top priority. «We are not willing to sacrifice our dividend policy for any acquisition plan», he stated, addressing investor concerns over capital allocation.
According to Piraeus Bank’s strategic plan for 2025-2028, the total dividend payout is expected to reach €2 billion, with a preference for cash payments rather than share buybacks. However, the bank’s management noted that this approach will be reassessed annually based on market conditions.
Discussing the bank’s overall performance, Megalou highlighted the strength of Piraeus Bank’s 2024 financial results, which he described as a solid foundation for achieving the institution’s long-term goals. He also projected a €12 billion increase in credit expansion by 2028, driven primarily by retail banking, which has now returned to a position of stability.
«Our goal is to be the number one bank for both our customers and our shareholders», Megalou stated, reinforcing Piraeus Bank’s ambition to strengthen its role within the Greek financial sector and deliver sustained growth.
