(515 PLN, 0,78%) has been granted an approval for providing banking products in Czech Republic and Slovakia under so-called European passport. Slawomir Lachowski, CEO of , has stated that the bank plans to open 10 branches in Czech Republic and 8 branches in Slovakia, as soon as this is possible, but the targeted date has not been stated. The bank will operate under mBank brand and will offer simple product range for retail clients (including personal accounts, deposits, cash loans and mortgage loans). plans to starts its foreign greenfield operations in 4Q07. The bank is expecting both subsidiaries to become profitable within 4-5 years.
Our view: We don’t expect the news to have any material impact on the stock price today, as this should be widely expected by the market.