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LLB Group Agrees To Buy Austrian Bank

Tom Burroughes Group Editor London 3 July 2024

LLB Group Agrees To Buy Austrian Bank

The Liechtenstein-headquartered group has operated its Vienna branch since 2009. The deal represents an important expansion in the country, it said.

LLB Group, as Liechtensteinische Landesbank is now known after last September’s rebrand, has agreed to buy all shares of Zürcher Kantonalbank Österreich AG, a bank with locations in Salzburg and Vienna. 

The transaction will boost LLB’s business volume by around SFr3 billion ($3.31 billion).  

Both parties have agreed not to disclose the purchase price, which will be paid in cash. The LLB Group’s Tier 1 ratio will decrease by around 1 per cent, which still puts it significantly above the target of more than 16 per cent.

The LLB Group has run its Vienna branch (main picture) via its subsidiary Liechtensteinische Landesbank (Österreich) AG since 2009. 

“After the acquisition of Semper Constantia Privatbank in 2018 and the takeover of Credit Suisse’s private banking clients in 2021, we are taking a further step in terms of acquisition-based growth in Austria,” Gabriel Brenna, CEO of the LLB Group, said in a statement. 

Zürcher Kantonalbank Österreich AG employs around 120 staff. Its clientele comprises mostly wealthy Austrian and German private clients. 

ZKB Austria will enable LLB’s Austrian business to expand and develop its Salzburg location, LLB said.

The transaction – subject to approvals from the supervisory authorities and under anti-trust law – will involves two stages. In the first stage, LLB AG will acquire Zürcher Kantonalbank Österreich AG. The takeover comprises client assets totalling around €3.1 billion ($3.21 billion). The second stage involves merging ZKB Austria with Liechtensteinische Landesbank (Österreich) AG.

“In LLB, we have found a strong partner for a long-term successful future. As the longest-established bank in Liechtenstein, and with a Moody’s rating of Aa2, LLB represents security and stability,” Florence Schnydrig Moser, chairwoman of the supervisory board of Zürcher Kantonalbank Österreich AG, said. 

LLB Group operates in Liechtenstein, Switzerland, Austria, Germany and the United Arab Emirates. 

LLB's main Liechtenstein office

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