Islandsbanki to merge with Skagi.

Islandsbanki, an Icelandic universal bank, agreed to merge with Skagi, a company active in the Icelandic financial services sector. Financial terms were not disclosed. The Board of Directors of Íslandsbanki believes this is a favourable transaction for Íslandsbanki's shareholders in line with the Bank’s strategy on profitable growth. It increases the diversity of the Bank's revenue generation and the weight of fee income. Overall, Íslandsbanki believes that the merger will further support the increased profitability of the merged entity. Additionally, the merged entity will continue to have significant excess capital, which creates further growth opportunities.