The largest banks in Estonia – Swedbank, SEB, Nordea and Danske Bank (Sampo Bank) – have announced the initiation of a cooperation project that aims to analyse and evaluate the feasibility of creating and establishing a common ATM network covering the Baltic region.
Professionals from the COBALT Transactions and Competition practice have been assigned as legal counsel to the project.
The first stage of the project is primarily to determine whether launching a common Baltic ATM network makes sense and how clients and banks would mutually benefit as a result. This involves evaluating the legal framework, business and technical implementability, and economic efficiency.
Should the first stage analysis result in positive feedback, the banks will assign an operator to provide ATM services and outsource the service they have commenced so far. However, the likelihood of negative effects on banks and clients of a common ATM network would result in the project not being taken further. The preliminary outcome of initial research should be announced by the end of October 2010.
Currently, the four largest banks in the Baltics are involved in the project. If a common Baltic ATM network is launched, other banks will also be able to join. The number of banks involved in the common network will not be limited in the future: the more participants the system has, the more cost-effective it will be.