Bawag Plans Dividend Limit, SRTs to Help Fund Irish Deal

Bawag Group AG will pause investor payouts and rely on significant risk transfers to fund the €1.62 billion ($1.9 billion) acquisition of Ireland’s third-largest lender, Permanent TSB.

The Vienna-based bank will not pay a dividend from first-half earnings, saving about €500 million, it said in a statement. Surplus capital already at hand at the end of 2025, as well as SRTs and other balance-sheet steps will contribute the rest of the price tag.