OREANDA-NEWS. November 11, 2014. The largest Lithuanian capital bank - Siauliu bankas - is expanding its activities in leasing area and strengthening its steps in a life insurance market. Siauliu bankas refused its intention to  sell such subsidiary companies  as  Ukio banko lizingas UAB  and  life insurance company „Bonum Publicum“ UAB which have  previously been taken over from the failed Ukio bankas and used to be listed as  companies held for sale so far, and decided to classify them as consolidated subsidiary companies.

"For our customers it is important to receive marketable high-quality financial services. Retail leasing and life insurance perfectly complement the traditional banking services rendered by Siauliu bankas , therefore,  there is no doubt we will be able to provide  even more benefits and opportunities to our customers. Two new companies have joined the Bank Group's structure leading to a huge synergistic effect which will allow realizing even more ambitious goals of the Group  ", - said Chief Executive Officer of Siauliu bankas Vytautas Sinius.

According to him Ukio banko lizingas takes leading position in retail banking in Lithuania while "Siauliu banko lizingas" belonging to the Bank's Broup  focuses on undertakings and  larger-scale leasing projects, thus, activities of these two leasing companies will organically complement each other.

“The resolution of the Management Board of Siauliu bankas will be a significant boost  to activities of Ukio banko lizingas, it will allow maintaining a leader's position in consumer leasing and credit market, to provide competitive solutions to the clients and to pursue even more ambitious goals" , - said Director General of Ukio banko lizingas Mindaugas Valancius.

Rasa Vasiliene-Vasiliauskiene,  Director of life insurance company "Bonum Publicum" also welcomes the fact that the company becomes a  full member of the Bank 's financial Group. "Our main objective is not to slow down the pace of growth and to take advantage of an effect arising from a strong correlation between services rendered by the bank and life insurance. Being a member of Siauliu bankas' financial Group we would be able to offer additional financial services to the bank's customers among which a life insurance as a long-term investment instrument. I have no doubt  that such strategic collaboration will create additional benefits in a long run to both - our clients and the bank's customers", - said Rasa Vasiliene-Vasiliauskiene.

On 3 March 2013 Siauliu bankas acquired Ukio banko lizingas and "Bonum publicum",  subsidiary companies controlled by the bank  under 100 per cent, alongside with another nine undertakings  under the agreement on transfer of Ukio bankas' assets, rights, transactions and liabilities  based on which the part of assets, rights, transactions and liabilities of Ukio Bankas was transferred to Siauliu bankas. The call option rights of failed Ukio bankas  to acquire the part of the assets taken over by Siauliu bankas AB from Ukio bankas expired at the beginning of  2014 - as  neither of call options had been realized, the assets of Ukio bankas went to disposal of Siauliu bankas.

The other remaining companies taken over from Ukio bankas are still included in the list of subsidiaries held for sale. The major share of the latter engaged in non-banking activities Siauliu bankas' Group  is planning to realize during 2015.

Over nine months of this year Siauliu bankas earned LTL 32.9 million of the unaudited net profit when during the analogical period last year the bank's net profit reached LTL 8 million. The unaudited net profit of  Siauliu bankas' Group over the same period this year comprised LTL 35.2 million which  exceeds the net profit generated over the respective period in 2013 by 2.4 times.