in November 1997, Erste Bank – at the time the uniform organization – embarked on its expansion strategy into Central and Eastern Europe. The first takeover was the Hungarian Mezőbank in 1997 (which was privatised by GiroCredit). After carrying out another capital increase, the expansion continued. In 2000, majority stakes were acquired in the Czech Česká spořitelna and in the Slovak Slovenská sporiteľňa. Also in 2000, three small Croatian banks were merged to create Erste & Steiermärkische Bank d.d., following their takeovers as of 1997 by Erste Bank and the Steiermärkische Bank und Sparkassen AG. In 2003, Riječka banka was merged with Erste & Steiermärkische Bank. The stake owned by Erste in these subsidiaries has been 55.1% ever since. The acquisition of 61.88% in Banca Comercială Română S.A. (BCR), the largest Romanian bank with 2.8, million customers and 12,000 employees, for EUR 3.751 billion in 2005 was the largest foreign direct investment ever by an Austrian enterprise. The number of the employees at the end of 2008 was 9,985. In July 2005, Erste Bank signed the purchase agreement for the acquisition of 83.28% of the shares in Novosadska banka a.d., Novi Sad, from the Republic of Serbia. With the acquisition of the bank, Erste Bank entered the Serbian market which promises enormous growth potential. In 2007, Erste acquired 100% of Bank Prestige in Ukraine, its first business venture in the country. In April 2013, Erste Group sold its Ukrainian subsidiary for around EUR 63 million to the owners of the Ukrainian Fidobank. The sale was in line with Erste Group's strategy to focus on the retail business in the eastern part of the European Union. Ukraine been growing more and more distant from the EU politically in the last few years, and therefore, no longer fit into the strategy of the banking group. In 2008, the foreign business of Erste Bank was transferred to the newly founded Erste Group. Subsidiaries in Central and Eastern Europe The holding company Erste Group Bank AG operates local banks in seven countries in Central and Eastern Europe: Austria: Erste Bank der oesterreichischen Sparkassen AG Czech Republic: Česká spořitelna a.s. Slovakia: Slovenská sporiteľňa, a.s. Hungary: Erste Bank Hungary Zrt. Croatia: Erste & Steiermärkische Bank d.d. Serbia: Erste Bank a.d. Novi Sad Romania: Banca Comercială Română Other financial institutions with the share of Erste Group: Montenegro: Erste Bank AD Podgorica Slovenia: Slovenia Banka Sparkasse d.d. Poland: