CrediaBank undergoes transformation with new vision

CrediaBank, named as the preferred bidder for HSBC Malta, is a strongly emerging European bank and currently the fifth-largest bank in Greece.

It is securely backed by the Greek state via a 36 per cent stake through the sovereign wealth fund and majority-controlled (57 per cent) by Thrivest Holding Limited, owned by prominent shipping magnates. CrediaBank is also listed on the Athens stock exchange.

This robust position is the result of a remarkable turnaround. Previously called Attica Bank, the bank changed its name to CrediaBank this year.

This was a strategic step in a radical transformation which involved merging with Pancreta Bank and restoring the balance sheet, mainly through a recapitalisation of €735 million from Thrivest Holding (55 per cent) and two state bodies; the Hellenic Fund Financial Stability Fund and its successor the Hellenic Corporation of Assets and Participation.

CrediaBank has fully absorbed HSBC’s operations in Greece as well, following a successful and seamless acquisition in 2023.

CrediaBank has also embarked on a new European-oriented business strategy and repositioned itself by emphasising the quality of customer relationships, flexibility and adaptability, rather than competing principally on size. This “human-centred” banking approach forms the core of its new mission.

The business has responded dynamically to these measures, giving CrediaBank a fresh resilience.

In 2024 deposits grew to €6.1 billion, the loan-to-deposit ratio stood at 54 per cent, disbursements hit €2.3 billion, net credit expansion reached €952 million, operating income rose by 96 per cent to €142.3 million, and pre-provision profits hit a record €43.8 million.

In the first quarter of this year, recurring operating profits rose 132 per cent year-on-year and disbursements were up 40 per cent, led by support for Small and Medium Sized Enterprises.

Moody’s, one of the world’s leading credit rating agencies, has recognised the rapid progress CrediaBank has made. It upgraded its baseline credit assessment to B1, noting improvements in non-performing loans and capital structure. A further upgrade is anticipated.

The transformation has not been limited to financial metrics. The bank has reshaped its organisation, investing heavily in employees, strengthening governance, and renewing its Board with the appointment of Konstantinos Herodotou, a former Governor of the Central Bank of Cyprus and member of the ECB’s Governing Council, as Chairman.

The organisational restructuring launched in 2024 is set to conclude in 2025, including centralisation and digitalisation of processes, adoption of performance evaluation systems, and significant investment in training, health, and safety initiatives.