Bank Leumi, Israel’s second-largest bank, said on Wednesday its board signed an agreement in principle to sell its 99.91 percent stake in Bank Leumi Romania SA to British investment firm Argo Capital Management Ltd.
Leumi said its decision to sell its Romanian unit is part of its strategy to concentrate its international operations in main finan cial centres through its subsidiaries in the United States and Great Britain.
It said the signing of a binding deal was subject to the completion of due diligence, further negotiation and regulatory approvals.
Leumi said the transaction is not expected to have a material effect on its financial results.
Argo Capital is a subsidiary of Argo Group.