Yet in November INSURANCE.BG was first to report on details about the forthcoming transaction between Wiener Stadtische and Kardan
The Austrian company Wiener Stadtische Allgemeine Versicherungs-Aktiengesellschaft notified the Commission for Protection of Competition about its intentions to acquire interest into the Dutch
Kardan Financial Services B.V.
The notice has been serviced pursuant to art. 24, para.1 of the Law on Protection of Competition. The Commission was informed also about the intentions of Kardan Financial Services to acquire
sole-proprietor control over TBIH Financial Services Group H.B., the Netherlands. The company has submitted a claim that the Commission for Protection of Competition make an assessment of the
transaction and render a decision.
Wiener Stadtische owns the Bulgarian Insurance Company Bulgarian Real Estates Jsc., Life Insurance Company Bulgarian Real Estates Jsc., and Bulgarian Real Estates Assistance, while the Dutsch
Kardan Financial Services exercises joint control over TBIH Financial Services Group H.B. and its daughter companies, amongst which are ten Bulgarian non-banking companies – Insurance and
Reinsurance Joint Stock Company Bulstrad, Pension Insurance Fund Doverie etc.
As INSURANCE.BG reported, in the middle of November 2005 Wiener Stadtische and Kardan Financial Services B.V. (KFS) signed an agreement for partnership under which the Austrian company shall
acquire 40% of the Dutch Financial Group for the amount of EUR 112.6 million.
Yet last year INSURANCE.BG forecast that the transaction would be completed in March 2006. In order to conclude such a transaction all proceeding related thereto have to be completed, including the
granting of an approval by the European Antitrust Commission. For the time being, the company has only applied for permission by the Commission for Protection of Competition. According to
specialist acquainted with the issue, there are no grounds for the Bulgarian Commission to reject the claim for concentration.
The leading Austrian Insurance Group Wiener Stadtische is the second largest in Central and East Europe. The Dutch TBIH is a leading long-term investor in the financial sector in Bulgaria, Russia,
Ukraine, Serbia and Montenegro, Croatia, Romania and Slovakia.
