Opening bell in honour of OTP Bank’s 25th anniversary on the Budapest Stock Exchange

Opening bell in honour of OTP Bank’s 25th anniversary on the Budapest Stock Exchange

It was a quarter century ago that the stock of OTP Bank Plc. was first listed on the Budapest Stock Exchange. The IPO was commemorated today at the BSE with a ceremonial opening bell at the start of the trading day. The Company had functioned as the only retail bank of the country since the middle of the 20th century before the privatisation enabled it to step on a path of dynamic growth. The bank grew rapidly in size, and by now it has become the leading participant of the banking sector in the Central and Eastern European region. At the same time, it is a major issuer in the domestic capital market, representing the greatest weight in the BUX index; compared to its initial stock price, the price of its shares have increased a hundred-fold. At the event, Dr. Sándor Csányi, Chairman & CEO of OTP Bank Plc. received a lifetime achievement award from the Budapest Stock Exchange for his contribution to developing the Hungarian capital market.

The shares of OTP Bank Plc. were first admitted to trading on the Budapest Stock Exchange 25 years ago, on 10 August 1995. After a 10-for-1 stock split, the IPO price of HUF 1,200 corresponds to a post-split price per share of HUF 120. In two and a half decades, the Company’s shares have grown to represent the greatest weight in the BUX index, with a total value of HUF 2,758 billion at the current price. At present, the stock is traded at a price that is almost a hundred-fold of the IPO price; at the end of last year it was close to HUF 16,000. The Company’s fundamental power is also reflected in its dividend policy. The General Meeting has regularly decided to pay dividends in recent years.

Meanwhile, thanks to its acquisition strategy, OTP Bank also boasted outstanding results in terms of expansion in the past decades: today the Group has a presence in 12 countries with more than 100 subsidiaries, 1,700 branches, 19 million customers and almost 40 thousand employees. Its sales revenue for the previous year amounted to HUF 1,077 billion, while after-tax P&L rose to an unprecedented high of HUF 412 billion.

As part of the opening bell ceremony, a special event was held at the BSE: Dr. Sándor Csányi, Chairman & CEO of OTP Bank Plc. received a lifetime achievement award for his contribution to developing the Hungarian capital market. The award was presented by Dr. Mihály Patai, Chairman of the Budapest Stock Exchange.

Opening bell in honour of OTP Bank’s 25th anniversary on the Budapest Stock Exchange

‘OTP Bank is unique in the sense that it is stable, growing and profitable all at the same time. The fact that we have achieved this rare position can be primarily attributed to our adaptability: this is how our Company was able to stand its ground in the competition as a major market participant during the political changeover and during and after the privatisation period and to become the leading actor in the region. An important landmark of this path is our nearly quarter-century presence and performance on the stock exchange: we benefited – and continue to benefit to this day – both from the financing opportunities and our transparent operation. I would like to extend my thanks to the Budapest Stock Exchange for the professional support it provided to us over the years, facilitating the achievement of one of our key goals, the continuous increase in shareholder value. I would also like to express my special gratitude for the prestigious lifetime achievement award. I wish to emphasise that our success at the stock exchange would not have been possible without the expertise, perseverance and decades of creative work of my colleagues’, said Dr. Sándor Csányi, Chairman & CEO of OTP Bank Plc.

'OTP Bank is among the companies that set an example in ambitious company building: after the privatisation, the Company continuously had its sights trained on the future as it strove for growth and expansion, as a result of which it is now considered the leader of the region. I am honoured that the Hungarian capital market also played an active role in making this success story a reality. I would like to take this opportunity to congratulate Mr. Csányi for the success of the bank and for his well-deserved lifetime achievement award recognising his contribution to the development of the Hungarian capital market’, commented Mihály Patai, Chairman of the Budapest Stock Exchange.

'It is not every day that we celebrate a 25th anniversary at the Budapest Stock Exchange, and it is an even rarer occasion that the opening bell of the exchange is rung by one of the drivers of not only the Hungarian, but the CEE capital market. In the case of OTP Bank this is not an exaggeration: the company demonstrated uninterrupted development in every aspect of its operation, whether it is growth in size, sustainable operation or its pioneering role in the area of digital services. I would like to congratulate Mr. Sándor Csányi – as well as the representatives of the company in attendance today and all employees – for the results achieved, wishing all of you continued, successful operation’, added Richárd Végh, Chief Executive Officer of the Budapest Stock Exchange.