Apollo in talks to sell Slovenian bank Nova to Hungary’s OTP for $1.2 billion

Hungary’s biggest lender OTP is in talks to buy Slovenian bank Nova KBM from private equity group Apollo in a deal worth roughly $1.2 billion, people close to the matter said.

OTP has sought to expand its footprint in the Balkans in recent years. It has bought large banks in Croatia, Serbia and several other countries. It owns a small bank in Slovenia, and the purchase of Nova KBM could make it the country’s number one.

Apollo, which owns 80% in Nova KBM, and OTP were not immediately available for comment. The European Bank for Reconstruction and Development, which owns 20%, declined to comment.

Apollo manages capital for hundreds of fund investors in dozens of countries, including some of the most sophisticated institutional allocators of capital. Pension funds, sovereign wealth funds, university endowments, charitable foundations, financial institutions, and family offices alike rely on Apollo to deliver differentiated long-term investment performance.