BNP Paribas and Rabobank have agreed a deal for the sale of Rabobank’s Polish arm to BNP Paribas.
Rabobank’s Bank BG?, eighth-largest bank by assets and sixth-biggest by operating income, has been valued at PLN4.2bn ($1.4bn) by the deal.
The merger has propelled BNP to 8th largest bank by assets in the Polish country rankings.
Jean-Laurent Bonnafé, CEO of BNP Paribas said: "We warmly welcome all Bank BG? staff and clients into our Group.
"They will help to enhance the excellent work already being done by our teams at BNP Paribas Polska, who have been instrumental in the success of our subsidiary to date.
"The acquisition of Bank BG? constitutes a major step towards attaining a critical size in Poland. The transaction will establish the BNP Paribas Group as a reference player in Poland’s banking sector."
Pekao, owned by UniCredit and Poland’s second largest bank by branches, also made a bid and rumour has it that Santander and UniCredit were considering rival bids.
Berry Marttin, member of the Rabobank’s executive board, said: "We’re pleased that a strong and renowned bank, BNP Paribas, will be able to reinforce Bank BG? established position as a universal commercial bank.
"It was very important for Rabobank to find a respectable partner, who can further develop Bank BG?’s ambitions.
"We want to thank the management and employees of Bank BG? for the contribution they made to Rabobank."
The transaction is subject to the execution of the final documentation and to the necessary regulatory approvals.