Hungarian Bankholding group continues the unification of management
From December 1, 2021, dr. Zsolt Barna will take over the duties of the CEO of Hungarian Bankholding Ltd., and in the future he will manage the holding company, which also includes Budapest Bank, MKB Bank and the Takarék Group, as Chairman and CEO. The owners appoint Levente Szabó, the current Deputy CEO of MTB Zrt. and Takarékbank Zrt., as Chairman and CEO of MTB Ltd. József Vida will serve as President of Takarék Mortgage Bank Plc. within the holding in the future.
Hungarian Bankholding Zrt. commenced its effective operation almost a year ago, on December 15, 2020. The goal of the company is to lead the merger and transformation of Budapest Bank, MKB Bank and the Takarék Group, in line with the business strategy adopted in March this year and the merger schedule announced in November.
An important element of the merger is the creation of a unified organizational governance structure in Hungarian Bankholding and its member banks. Accordingly, on November 16, 2021, the Deputy CEOs and Managing Directors of Bankholding adopted the professional and employment law management of the member banks of the group, Budapest Bank, MKB Bank and Takarék Group.
As of December 1, 2021, the group will take further steps to establish a unified management: dr. Zsolt Barna, Chairman of Hungarian Bankholding, will take over the duties of the CEO, and in the future he will manage Bankholding as President and CEO of the company. The position of Chairman and CEO of MTB Ltd. will be held by Levente Szabó, currently serving as Deputy Chief Business Officer of Individual Services of Bankholding, Deputy CEO of MTB Ltd. and Takarékbank Ltd., who will continue to perform the duties associated with his existing position in the holding organization. József Vida, the chairman of Takarék Mortgage Bank Plc., which acts as the refinancing mortgage bank of the member banks of Bankholding, will continue to work within the group, in accordance with his re-election of the company’s general meeting held on November 23.
The unified organizational governance structure implemented by the end of the year in Hungarian Bankholding and its member banks, including MTB Ltd. and Takarékbank Ltd., will establish a clear corporate governance system, which will help improve the operational efficiency of member banks and simplify the management of the companies. According to the plans of Hungarian Bankholding, the unification of the entire operation will take place in two stages: on March 31, 2022, Budapest Bank and MKB Bank will merge, with Takarék Group joining the merger in the second quarter of 2023.
The aim of the merger is to build the most modern bank in Hungary, with core values such as stability and reliability, which will be able to radically change the customer experience related to financial services with its digital solutions.
Hungarian Bankholding Ltd.
Hungarian Bankholding Ltd. is a domestically owned financial holding company, which aims to implement the merger of Budapest Bank Zrt., MKB Bank Nyrt. and Takarék Group. The company commenced its effective operation on 15 December 2020, after MNB (acting as the central bank of Hungary) approved the merger of three credit institutions, and the shares of the key owners were transferred to the joint holding company. By transferring the in-kind contributions, the second largest banking group in Hungary has been established.
In March 2021, the Board of Directors and the Supervisory Board of the Hungarian Bankholding approved their five-year strategy for the merger of the member banks, based on which the fusion of the three credit institutions is planned to be concluded in 2023. The aim of the emerging large bank is to be the most modern bank in Hungary, which will introduce flexible, internationally leading digital solutions.The new large bank will serve the full market spectrum and all customer segments in the future, with a significant emphasis on the provision of new, modern range of products and services to retail, micro, small and medium-sized enterprise and agricultural customers.