Izola Bank has received a number of binding offers from potential investors as discussions over a possible change in the bank’s ownership structure move into a more advanced stage.

In a company announcement to the market, the bank said its shareholders had informed the Board that “a number of binding offers” had been received. Negotiations and the selection of a successful bidder are currently underway, although Izola Bank stressed that there is no assurance that a transaction will ultimately be concluded or on what terms.

The latest development follows discussions held in April with various potential investors regarding a possible change in the bank’s ownership structure.

The process dates back to June 2024, when Izola Bank, its immediate parent IBL T Limited and IBL T’s parent company, Belgium-registered Van Marcke Finance N.V., received a non-binding letter of intent from an unnamed European listed group. The group outlined its aspiration to acquire 49.9 per cent of IBL T, which would have resulted in an additional indirect qualifying holding in Izola Bank.

At the time, the bank’s Board described the proposal as a positive development, saying a new strategic investor could strengthen Izola Bank’s capital position and support the further development of its business lines, particularly its factoring business.

The bank received further interest after the initial 2024 approach. In its 2024 annual report, published in April 2025, Izola Bank said that following the receipt of the letter of intent, its shareholder had received “substantial interest from several additional parties”, with those expressions of interest under evaluation. The bank said an important objective for 2025 was to conclude discussions with a strategic partner.

The ownership process therefore appears to have evolved from a single strategic approach into a broader process involving multiple potential investors.

The bank received a non-binding letter of intent from an unnamed European listed group in 2024, but subsequently attracted interest from several other parties. It has now received a number of binding offers.

Izola Bank is wholly owned by the Van Marcke Group, the Belgian family-owned group that established its banking arm to support its commercial activities. Izola Bank obtained its Maltese banking licence in 1994 and has since expanded into business and personal banking, with a particular focus on products supporting small and medium-sized businesses.

The bank has more recently highlighted its expertise in factoring and corporate lending. Its Izola Factor service is aimed at SMEs seeking to improve cash flow by receiving financing against invoices before customers settle them.

The ownership discussions come as Izola Bank continues to implement a turnaround strategy following a difficult period for the lender.

The bank remained profitable in the first half of 2026, reporting a profit after tax of €176,100, down 18 per cent from just under €216,000 in the same period last year. Pre-tax profit was broadly unchanged at €131,700. Net interest income increased by 4.6 per cent to just under €4.1 million, while total operating income rose 7.2 per cent to €4.2 million.

The bank's balance sheet contracted during the six months, with total assets falling to €374.8 million. Customer lending declined 3.2 per cent to €132.3 million, while factored receivables fell 2.4 per cent to €113.8 million. Customer deposits decreased to €309.2 million, although term deposits increased to €233.4 million. Izola Bank said the movements reflected its focus on liquidity management and capital efficiency.

This followed a €4.1 million pre-tax loss in 2024, when higher funding costs weighed on the bank's results. The bank subsequently described its return to profitability as evidence of the resilience of its turnaround strategy.

Against this backdrop, the latest binding offers could potentially mark a significant development in Izola Bank's ownership and future strategic direction.

The latest announcement does not identify the parties behind the offers or disclose the terms of the proposals.

Izola Bank said negotiations and the selection of a successful bidder are ongoing, and that there is no assurance that a transaction will ultimately be concluded.