Pravex bank is the sixth largest in the country and has a network of about 560 branch offices.

Italian Intesa Sanpaolo Group on Monday has agreed to pay 504 million of EUR for a 100 per cent venture in Ukraine's Pravex Bank, in a deal the Italian bank said would give it a foothold in a fast growing Ukrainian market.

The attainment follows Intesa's failed intension to purchase Ukrainian bank Ukrsotsbank last year.

Earlier this year, Intesa's main Italiancompete, UniCredit Group, closed a 1.5 billion of EUR deal giving it a 94.2 per cent stake in Ukrsotsbank, which is ranked as one of Ukraine's five largest banks.

"With this attainment the Intesa Sanpaolo Group continues accomplishing its strategy of selective expansion in Central and South-Eastern Europe and the Mediterranean Basin, where it already enjoys strategic coverage through its local retail and commercial subsidiaries," Intesa reported.

The sale marks the continued exceeding of European banking groups into Ukraine. A fluster agitate of acquisitions during the past three years has increased the presence of foreign banking groups in Ukraine in terms of net assets from below 10 per cent to more than 35 per cent.

Intesa proclaimed its acquisition of Pravex is expected to close within months, after approval is given from authorities in Italy and Ukraine. The final buying price is to be adjusted taking into consideration Pravex's IFRS net book value at closing.