Bank Polska Kasa Opieki S.A. (WSE:PEO) enter into a letter of intent to acquire the Assets, Rights and liabilities of Idea Bank S.A on December 31, 2020. On December 31, 2020, the Bank received a declaration of the Bank Guarantee Fund concerning the acceptance of the binding offer submitted by the Bank on December 21, 2020 for the acquisition of the assets and rights of Idea Bank S.A and Bank Pekao received the decision of the BGF on December 30, 2020 regarding the commencement of the resolution of Idea Bank S.A. In accordance with the Decision, the Bank will acquire the Acquired Business on January 3, 2021. Under the terms of transaction, Bank Pekao will acquire business of Idea bank except certain assets, rights and liabilities associated with actions, legal acts or unlawful activities,  shares in the subsidiaries and affiliates of Idea Bank S.A and corporate bonds issued by GetBack S.A. Bank Pekao will acquire the assets and rights in the form of the Enterprise and simultaneously assuming the Liabilities.  Based on an assessment prepared by the Bank as at August 31,2020, the value of the Liabilities being assumed amounts to PLN 14.6 Billion. The payment of compensation for the Acquired Business will be effected through the assumption of the Liabilities corresponding to the value of the acquired Enterprise, subject to the provided Subsidy. In connection with the acquisition and integration of the Acquired Business, the Bank estimates that over a ten-year period, cumulative cost synergies will be achieved at the level of approximately PLN 300 million on a net present value basis.

Prior to the submission of the Binding Offer by the Bank, it was approved by the Management Board and the Supervisory Board of the Bank. The acquisition of the Acquired Business will not have a material impact on the Bank's financial profile or the capital and liquidity parameters of the Bank and the Bank's capital group, which will remain significantly above the required regulatory levels.

Bank Polska Kasa Opieki S.A. (WSE:PEO) completed the acquisition of Assets, Rights and liabilities of Idea Bank S.A on January 3, 2021.