News sources in Cyprus led by InBusinessNews and Cyprus Business News are reporting that Costas Cleanthous, the co-founder and CEO of Retail FX and CFDs broker XM.com, is acquiring a majority stake in Accoria Bank, one of Cyprus largest banks.

Cyprus’ banking sector has been undergoing consolidation, with Eurobank in process of acquiring Hellenic Bank. Earlier this year Alpha Bank Cyprus agreed to buy AstroBank in a €205 million deal.

According to the sources, Costas Cleanthous and certain other investors have reached a preliminary agreement to acquire Ancoria Bank, with the acquisition subject to approval by the Central Bank of Cyprus. The official request to the central bank is expected to be submitted in the coming days.

Under the terms of the agreement, Costas Cleanthous will reportedly acquire more than 50% of the bank’s shares, making him the primary majority shareholder. In addition, businessman and banker Charalambos Panayiotou is also set to increase his shareholding, and after the agreement’s completion, is expected to hold more than 20% of Ancoria Bank. Currently, Cleanthous and Panayiotou jointly hold less than 10% of the bank’s share capital.

The expected future shareholding of Ancoria Bank will be as follows:

• Costas Cleanthous – 55%
• Charalambos Panayiotou – 25%
• Ancoria Insurance – 20%

The sources also noted that Costas Cleanthous’ investment in Ancoria Bank is strictly personal, and is in no way connected to XM.

The purpose of the investment, sources indicate, is to establish an independent, purely Cypriot commercial bank dedicated to supporting Cypriot entrepreneurship, the local public, and small to medium-sized enterprises (SMEs), thereby contributing to the broader Cypriot economy.

Ancoria Bank Ltd is a licensed and registered Cypriot bank operating under the supervision of the Central Bank of Cyprus. The bank currently offers a wide range of banking products and services for both individuals and businesses and operates three banking centers located in Nicosia, Limassol, and Larnaca.