Jiří Šmejc from PPF Group wants to buy Home Credit Bank

The head of PPF Group, a financial company from the Czech Republic, is going to take full control over the Kazakhstani Home Credit, according to Kirill Bachvarov, board chairman of the bank.

«We are going to expand the bank’s shareholder structure over the following months. I think it is likely that Mr. Šmejc will control a 100% share of the bank by the end of this year,» he said. Even though there isn’t 100% faith that other stakeholders will agree to sell their stakes, the bank’s management anticipates this result,” Bachvarov added. 

Currently, Šmejc owns a 34.7% stake in Home Credit Bank. He gained control over this stake in several stages. In May last year, he and other top managers from PPF Group bought 75% shares of Home Credit and Finance Bank in Russia, a parent company for Home Credit Kazakhstan. In December 2022, he bought an additional 25% shares of the bank. As a result, his total stake has increased to 34.7%.

On January 16, 2023, it was reported that Šmejc approached the other top managers of PPF Group and stakeholders of the bank. He offered to buy their stakes in Home Credit at a rate of $4,325 per common share. The law requires that any deal linked to purchasing a 30% stake or more must include an offer for minority shareholders.

Bochvarov noted that the potential deal is part of an initial plan by Šmejc and Home Credit Bank management. «The plan was to gather dispersed shares in one place. This is exactly what happened in December,» the board chairman highlighted.

PPF Group was the sole stakeholder of Home Credit in Russia, which in turn owned Home Credit Kazakhstan. After the tragic death of Petr Kellner, the founder of the group, PPF said it wanted to get rid of the Russian asset. The holding sold its stake to Ivan Tyryshkin and his Russian companions right after Western sanctions were imposed against Russia.