Union Bank (Albania)
| Company type | Private |
|---|---|
| Industry | Banking, Financial services |
| Founded | 2005 |
| Headquarters | Tirana , Albania |
| Products | Banking services, Leasing (via subsidiary LandesLease) |
Number of employees | 349 (2017) |
Union Bank commenced operations in Albania on January 11, 2006, becoming the nation's second bank with Albanian ownership. Its main headquarters are located in Tirana.
As of 2017, the bank had a workforce of 349 employees and managed a network of 31 branches throughout Albania. By 2021, Union Bank achieved a market share of 4.53%, positioning it as the eighth-largest banking institution in the country.
History
Union Bank was established in 2005 by Union Financiar Tirane (UFT) with an initial capital injection of €17.6 million. At launch, it operated seven branches situated in Tirana, Durrës, Elbasan, Fushë Krujë, and Fier.
In 2008, the EBRD acquired a 12.5% ownership stake, becoming the second-largest shareholder, while Albanian investors maintained control over 87.5%. That same year, the bank's total assets exceeded €100 million, expanding to €256 million by 2014.
The bank’s strategic focus centers on broadening its branch presence and boosting lending activities, with particular emphasis on serving the SME sector. The EBRD contributes to this development by providing financing support and enhancing funding capabilities.
LandesLease acquisition
In November 2014, Union Bank completed the full acquisition of LandesLease, a domestic leasing firm established in 2005. Prior to this transaction, Emerging Europe Leasing Finance held 72% ownership, while local investors owned the remainder. In 2014, LandesLease accounted for a 15% share of Albania's leasing industry, financing more than 350 vehicles and generating annual revenues of €1.8 million. Since the acquisition, LandesLease has functioned as a subsidiary under Union Bank.
International Commercial Bank (ICB) acquisition
Union Bank expanded further in November 2018 by acquiring International Commercial Bank (ICB), a smaller Malaysian-owned financial institution. This acquisition was part of a broader consolidation trend within Albania’s banking sector that reduced the number of commercial banks from sixteen to thirteen. Established in January 1997, ICB possessed assets valued at $96.6 million and employed over ninety personnel as of 2018. Following this transaction, Union Bank’s total assets surpassed $560 million, securing an approximate market share of 4.5%.