CEFC China Energy Company Limited (CEFC), a private Chinese company, will acquire a fifty percent share in J&T Finance Group SE (JTFG). The representatives of both companies confirmed the transaction by signing a strategic partnership agreement.
“Finance is a key area that CEFC has long been focusing on the world over. Our first investment in the Czech Republic and Central Europe was, therefore, the acquisition of almost a ten percent share in the banking group JTFG. They have proven to be a strong and reliable partner. We have therefore agreed to increase this share and conclude a strategic partnership,” said Chan Chauto, President of CEFC China Energy Company Limited and Chairman of CEFC Group (Europe) Company, the European counterpart of CEFC.
“Such a strong partner entering the group is an opportunity for us to become one of the most important companies in Central Europe and to expand to new markets. We see the conclusion of a partnership with CEFC, where we will continue to be responsible for management of the group, as the most important transaction in our history,” said Patrik Tkáč, Chairman of the Board of Directors of J&T Finance Group SE.
The entrance of CEFC into JTFG still needs to be approved by the respective regulatory bodies of all of the countries where JTFG is active.
Both companies are interested in working together to provide retail banking in Central and Eastern European countries via representation within at least two important banks. They would also like to expand modern banking and financial services to China, where they are planning to set up branches of J&T Banka.
A Framework Cooperation Agreement between JTFG and the Chinese financial institution China Development Bank is also part of the strategic partnership. Investments under this agreement will be worth EUR 800 million.
About J&T Finance Group SE:
J&T Finance Group SE focuses on providing comprehensive private and retail banking services, asset management services for clients and institutions, investment banking services and project financing services. It is developing its services in the markets of the Czech Republic, Slovakia, Croatia and Russian.
About China Development Bank:
China Development Bank (CDB) is a Chinese financial institution that focuses primarily on development projects. It supports the development of infrastructure, basic industries, new key industries, and projects that enjoy state priority. At the same time, it finances regional development and urbanisation, SMEs, and investments in agriculture, education, health care and the environment. It also promotes entrepreneurship. CDB observes market principles that encourage stable performance, innovation and sustainable development. At the end of 2014, CDB assets grew year-on-year by 19% to USD 1.87 billion.
About CEFC:
CEFC China Energy Company Limited is the biggest private company in Shanghai and the sixth biggest private company in China. It is active chiefly in finance and energy. It has representative offices in, for example, the USA, Great Britain, Canada, Mexico, Russia, UAE, Indonesia, Singapore, South Korea and Japan. CEFC is a Fortune Global 500 company. CEFC has decided to expand into Europe and has chosen the Czech Republic as its main headquarters for its European activities. The holding structure of the European group CEFC Group (Europe) Company a.s. comprises six basic areas of investment: finance, energy, industry, tourism, e-commerce and health care. In the Czech Republic, CEFC is, for example, already a majority shareholder of Pivovary Lobkowicz Group; has an interest in Travel Service, J&T, Empresa Media and Médea Group; has made a number of real estate investments, including the purchase of the former Živnobanka building in the centre of Prague; and is the majority shareholders of the SK Slavia Praha football club. It is also a partner of the Czech national football team.
Contact for the media:
Monika Veselá, PR Manager, J&T Finance Group SE,
e: mvesela@jtbank.cz, m: +420 604 333 320
Pavel Bednář, Director of Communications, CEFC Group (Europe) Company a.s.,
e: pavel.bednar@cefceurope.com, m: +420 723 741 146