Chinese delivered new offer for Hypo bank

Chinese China Energy Reserve & Chemicals Group delivered a new offer for the acquisition of Hypo Alpe Adria bank network of banks in the Balkans which it considers to be “irresistible” while the Ministry of Finance of Austria stays with the attitude that the offer is not acceptable since, as the previous one, was not delivered within deadline.

According to Vienna’s Kurir, Chinese company delivered the offer to the Austrian company, Fimbag in charge for sale of Hypo bank, where it offers EUR 350 m for six banks in the Balkans which is EUR 40 m more than competition. It is particularly important that Chinese group would immediately compensate EUR 2,2 billion to Hypo international Austria which it invested in the banks in the Balkans.

This way, EUR 2,2 billion could be immediately redirected to the budget of Austria and therefore the Chinese think of their offer as “irresistible”.

The Austrian ministry of finance, however, is firm at the fact the offer was not delivered on time and outlines the bidders who fit into the timeline, in case of deadline change, would submit charges.

The Chinese do not accept this reply, outlining that so far, for a few times, terms during sale of Hypo bank changed.

Other bidders who delivered offers within deadline, the American Advent and EBRD, as well as Russian VTB with Bulgarian investor Denis Barekov and Expo bank from Kazakhstan, would return EUR 2,2 billion which Austria invested in the Hypo banks in the Balkans, to Austrian budget after a number of years.