Axa Bank Hungary, a branch of Axa Bank Europe, manages a credit portfolio that was put in run-off in 2011. It also offers day-to-day banking services.
The sale to OTP, which is one of the largest financial services firms in central and eastern Europe, is expected to result in an exceptional loss of around €80m (£60.6m, $87.3m), for which a provision was included in the group’s financial statement ending 31 December 2015.
Jef Van In, chief executive of Axa Bank Europe, said: “This transition is the final step in the repositioning of Axa Bank Europe as a fully focused Belgian retail bank, serving almost one million clients and operating jointly with Axa Insurance in Belgium.”
Pending regulating approval, the transaction is expected to close in the second quarter of 2016.