NICOSIA, July 10 (Xinhua) -- Bank of Cyprus, the eastern Mediterranean island's largest lender, has completed the sale of its subsidiary bank in England, Bank of Cyprus UK, and unit Bank of Cyprus Financial Services Ltd., a bank statement said on Tuesday.
It added that the subsidiary was sold to Cynergy Capital Limited, a UK-based group, for a total of 103 million GBP (136.6 million U.S. dollars).
The sale is subject to approval by Cypriot and British regulators.
Bank of Cyprus had previously sold its loan portfolio in the UK in 2014 at a reported price of 361 million euros.
The Bank of Cyprus statement said one of the reasons for the sale of its subsidiary was uncertainty over the divorce negotiations between the UK and the European Union.
Bank of Cyprus and Cynergy also agreed to sign a "cooperation agreement" to ensure continuity in servicing the bank's existing customers.
Bank of Cyprus said that Cynergy Capital is expected to rebrand the acquired unit to Cynergy Bank and continue to service the Cypriot community in the UK.
Bank of Cyprus chief executive officer John Hourican was quoted as saying that the equity released will be deployed in pursuit of the bank's core activity in Cyprus to continue to support the recovery of the Cypriot economy.
