Alpha Bank
Encyclopedia
Alpha Bank is the second largest bank
in Greece
with 450 branches throughout the country. It also has a subsidiary and branch in London
, and branches and subsidiaries throughout the Balkans (see "International expansion" below). Founded in 1879, it has been controlled by the Costopoulos family since the very beginning. Currently the bank is chaired by Ioannis Costopoulos, who is the grandson of the original founder John F. Costopoulos, and the nephew of Stavros Costopoulos, Foreign Minister in the liberal government of Georgios Papandreou.
In the early 1990s, the bank started on a program of international expansion, especially in the Balkans.
In addition, Alpha Bank has a branch in London and a finance company, Alpha Finance US, in New York.
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
in Greece
Greece
Greece , officially the Hellenic Republic , and historically Hellas or the Republic of Greece in English, is a country in southeastern Europe....
with 450 branches throughout the country. It also has a subsidiary and branch in London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, and branches and subsidiaries throughout the Balkans (see "International expansion" below). Founded in 1879, it has been controlled by the Costopoulos family since the very beginning. Currently the bank is chaired by Ioannis Costopoulos, who is the grandson of the original founder John F. Costopoulos, and the nephew of Stavros Costopoulos, Foreign Minister in the liberal government of Georgios Papandreou.
In Greece
- In 1879 John F. Costopoulos established a small commercial firm in the city of KalamataKalamataKalamata is the second-largest city of the Peloponnese in southern Greece. The capital and chief port of the Messenia prefecture, it lies along the Nedon River at the head of the Messenian Gulf...
. - In 1918 the banking department of the "J.F. Costopoulos" firm changed its name to Bank of Kalamata.
- In 1924 the bank moved its headquarters to AthensAthensAthens , is the capital and largest city of Greece. Athens dominates the Attica region and is one of the world's oldest cities, as its recorded history spans around 3,400 years. Classical Athens was a powerful city-state...
and changed its name to Banque de Credit Commercial Hellenique. - In 1947 the bank changed its name to the Commercial Credit Bank (CCB).
- In 1972 the CCB changed its name to Credit Bank (Trapeza Pisteos).
- In 1994 Credit Bank changed its name to Alpha Credit Bank (ACB).
- In 1999 ACB acquired 51% of the shares of the Ionian Popular Bank.
- In 2000 ACB absorbed the Ionian Popular Bank. In the same year ACB changed its name to Alpha Bank.
- In 2002 Alpha Bank's attempted merger with National Bank of GreeceNational Bank of GreeceThe National Bank of Greece is the oldest and largest commercial banking group in Greece. The group has a particularly strong presence in Southeastern Europe and the Eastern Mediterranean...
fell through. - In 2011 Alpha Bank merged with Eurobank EFG.
International expansion
- In 1960 Commercial Credit Bank established a subsidiary in CyprusCyprusCyprus , officially the Republic of Cyprus , is a Eurasian island country, member of the European Union, in the Eastern Mediterranean, east of Greece, south of Turkey, west of Syria and north of Egypt. It is the third largest island in the Mediterranean Sea.The earliest known human activity on the...
that it may later have closed or sold.
In the early 1990s, the bank started on a program of international expansion, especially in the Balkans.
- In 1993 Credit Bank and the EBRD established "Banca Bucureşti" in RomaniaRomaniaRomania is a country located at the crossroads of Central and Southeastern Europe, on the Lower Danube, within and outside the Carpathian arch, bordering on the Black Sea...
, which commenced operations the next year. Credit Bank owned about 50% of the bank. - In 1994 ACB acquired Commercial Bank of LondonLondonLondon is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
from Commercial Bank of Greece (Emporiki BankEmporiki BankThe Emporiki Bank is a Greek bank. Its headquarters is in Athens, and the bank has 370 branches across Greece. The bank has most of its subsidiaries in Cyprus.It also has subsidiaries in Albania, Romania and Bulgaria, and a branch in London that also manages a financing subsidiary...
) and renamed it Alpha Credit Bank London. - In 1996 ACB established a branch in TiranaTiranaTirana is the capital and the largest city of Albania. Modern Tirana was founded as an Ottoman town in 1614 by Sulejman Bargjini, a local ruler from Mullet, although the area has been continuously inhabited since antiquity. Tirana became Albania's capital city in 1920 and has a population of over...
, AlbaniaAlbaniaAlbania , officially known as the Republic of Albania , is a country in Southeastern Europe, in the Balkans region. It is bordered by Montenegro to the northwest, Kosovo to the northeast, the Republic of Macedonia to the east and Greece to the south and southeast. It has a coast on the Adriatic Sea...
, and followed that with three more branches. - In 1997 ACB established Alpha Credit Bank JerseyJerseyJersey, officially the Bailiwick of Jersey is a British Crown Dependency off the coast of Normandy, France. As well as the island of Jersey itself, the bailiwick includes two groups of small islands that are no longer permanently inhabited, the Minquiers and Écréhous, and the Pierres de Lecq and...
to promote private banking services. - In 1998 ACB acquired 82.5% of Lombard NatWest Bank in CyprusCyprusCyprus , officially the Republic of Cyprus , is a Eurasian island country, member of the European Union, in the Eastern Mediterranean, east of Greece, south of Turkey, west of Syria and north of Egypt. It is the third largest island in the Mediterranean Sea.The earliest known human activity on the...
and renamed it Alpha Bank Ltd. - In 1999 ACB acquired 65% of Kreditna Banka, SkopjeSkopjeSkopje is the capital and largest city of the Republic of Macedonia with about a third of the total population. It is the country's political, cultural, economic, and academic centre...
, Republic of MacedoniaRepublic of MacedoniaMacedonia , officially the Republic of Macedonia , is a country located in the central Balkan peninsula in Southeast Europe. It is one of the successor states of the former Yugoslavia, from which it declared independence in 1991...
. It now owns 84% (see Alpha Bank SkopjeAlpha Bank SkopjeAlpha Bank Skopje is the subsidiary of the Greek bank Alpha Bank, in the Republic of Macedonia.In 1999, Alpha Bank officially agreed on the purchase of a 65 Percent stake in the Macedonian Kreditna Banka...
). - In 2000 "Banca Bucureşti" changed its name to "Alpha Bank Romania" (ABR). Monte dei Paschi di SienaMonte dei Paschi di SienaBanca Monte dei Paschi di Siena S.p.A. is the oldest surviving bank in the world. Founded in 1472 by the Magistrate of the city state of Siena, Italy, as a mount of piety, it has been operating ever since. Today it consists of approximately 3,000 branches, 33,000 employees and 4.5 million...
took a 5% share of the bank. Alpha Bank’s share became 63%. ABR itself acquired a 12.5% stake in Victoria Bank (est. 1989), the largest private bank in MoldaviaMoldaviaMoldavia is a geographic and historical region and former principality in Eastern Europe, corresponding to the territory between the Eastern Carpathians and the Dniester river...
. - In 2002 ACB acquired the minority stake and became the sole shareholder in Alpha Bank SkopjeAlpha Bank SkopjeAlpha Bank Skopje is the subsidiary of the Greek bank Alpha Bank, in the Republic of Macedonia.In 1999, Alpha Bank officially agreed on the purchase of a 65 Percent stake in the Macedonian Kreditna Banka...
, accounting for 100% of its share capital. - In early 2005 Alpha Bank acquired 88.64% stake in Serbian Jubanka and changed its name to Alpha Bank BeogradAlpha Bank BeogradAlpha Bank Beograd is the Serbian subsidiary of the Greek bank, Alpha Bank.On January 26, 2005 Alpha Bank officially agreed the purchase of a 88.64% stake in Serbian Jubanka...
. - Alpha Bank also has an extensive branch network in BulgariaBulgariaBulgaria , officially the Republic of Bulgaria , is a parliamentary democracy within a unitary constitutional republic in Southeast Europe. The country borders Romania to the north, Serbia and Macedonia to the west, Greece and Turkey to the south, as well as the Black Sea to the east...
, the foundation of which it inherited from Ionian and Popular Bank, which entered in 1994 with a representative office in SofiaSofiaSofia is the capital and largest city of Bulgaria and the 12th largest city in the European Union with a population of 1.27 million people. It is located in western Bulgaria, at the foot of Mount Vitosha and approximately at the centre of the Balkan Peninsula.Prehistoric settlements were excavated...
. - On November 24, 2006, Alpha Bank announced that an agreement had been reached with Anadolu Group to create a strong franchise in the Turkish financial sector. According to a press release, through this partnership, "Alpha Bank enters a rapidly developing sector in a large and fast growing market. The Anadolu Group is one of the preeminent industrial concerns in Turkey and is also the majority owner of Abank (Alternatifbank). The transaction is valued at USD 492.5 million (Euro 384.3 million). Alpha Bank will ultimately contribute a cash consideration equal to half of said amount. The two parties will jointly establish a fifty-fifty holding company whose assets consist of the shares currently owned by the Anadolu Group in both Abank and Alease (Alternatiflease), that is 94% and 95% stakes respectively. The holding company will also own, indirectly, 100% of the brokerage firm Alternatif Yatirim, 45% of the listed closed-end investment fund Alternatif Yatirim Ortkaligi, as well as the head offices of the bank and the brokerage company, situated in premium locations of Istanbul," the press release said.
- On March 27, 2008, Alpha Bank reached a deal to buy a majority stake in newly established OJSC Astra Bank in the UkraineUkraineUkraine is a country in Eastern Europe. It has an area of 603,628 km², making it the second largest contiguous country on the European continent, after Russia...
as part of plans to expand in the region. Alpha Bank agreed to buy 90 percent of Astra Bank for 9 million euros.
In addition, Alpha Bank has a branch in London and a finance company, Alpha Finance US, in New York.
See also
- Mutual Help Fund of Personnel of Ionian-Popular Bank and Other Banks
- Ionian BankIonian BankThe Ionian Bank was a British overseas bank that investors established in 1839 to operate in the Ionian Isles, which was then a British Protectorate. The bank later expanded in Greece and the Eastern Mediterranean. After losing its branches in Egypt to nationalization, IB retreated from the...
and Ionian Popular Bank of Greece