Poland has long been a magnet for foreign banks, which now own two-thirds of its banking sector. Recently, however, troubles elsewhere in Europe have created more would-be sellers than buyers of Polish institutions. Spain’s Santander turned this to its advantage in its capital-lite acquisition of a majority stake in Kredyt Bank, advised by Credit Suisse’s Madrid-based financial institutions group (FIG) team, alongside Citi.
Poland is one of the few bright spots in Europe at the moment. The only EU and Organisation for Economic Co-operation and Development country to escape recession during the crisis, its economy grew by 4.3% last year. Its relatively open economy and stable political environment add to its attractions for expansion-minded banks such as Santander. “Santander sees Poland as being like Spain 25 or 30 years ago,” says Fernando Maldonado López, co-head of Credit Suisse's investment banking division in Spain and Portugal. “It has good growth prospects, and it is less penetrated than others from a banking perspective.”