Latest news with #Caixabank
Reuters
22-05-2025
- Business
- Reuters
Spanish bank buying Novo Banco is not in Portugal's interest, minister says
LISBON, May 22 (Reuters) - Portugal is concerned about over-dependence on Spain in its banking sector and views an acquisition of its fourth-largest lender Novo Banco by a Spanish bank as contrary to the country's interests, its acting Finance Minister said. According to Spanish media reports, the country's Caixabank ( opens new tab, which owns Portugal's fifth largest bank BPI, was weighing a bid for Novo Banco, although the Spanish bank has not commented on those reports. "Spanish banks already represent roughly a third of the Portuguese banking market and, for reasons of concentration and dependence, this figure should not rise," Joaquim Miranda Sarmento told broadcaster RTP late on Wednesday. "It is in the country's interest that there is no excessive dependence or concentration in our banking sector in the hands of banks from a single country such as Spain," he said, without elaborating why it would be of concern. Unlisted Novo Banco, which is 75% owned by U.S. private equity fund Lone Star, in February began preparations for an initial public offering of 25%-30% of its capital but a full sale has not been ruled out. Miranda Sarmento said it was up to majority stakeholder Lone Star to decide on whether float the bank or sell it. The remaining 25% stake in the lender is held by a resolution fund, which is financed by Portugal's banks and the Portuguese state. While the stake does not allow the state the power to block a deal, it would be difficult to finalise it without the government's consent. Last June, the CEO of state-owned Caixa Geral de Depositos (CGD) Paulo Macedo said Portugal's largest bank was considering buying another lender to preserve its market leadership in the face of expansion by foreign banks, particularly those from Spain. Should CGD make a bid "alone or together with another bank" for Novo Banco, the Portuguese state would have the final say on the transaction in such a scenario, Miranda Sarmento said. Portugal's top five banks, which also include Millennium bcp ( opens new tab and the Portuguese unit of Spain's Santander ( opens new tab control more than 80% of the country's banking assets.
Reuters
13-05-2025
- Business
- Reuters
Spain's antitrust watchdog says BBVA-Sabadell deal won't make market uncompetitive
MADRID, May 13 (Reuters) - The head of Spain's antitrust watchdog said on Tuesday the country's banking sector would still be competitive after BBVA's ( opens new tab proposed acquisition of Sabadell ( opens new tab thanks to the presence of other lenders such as Caixabank ( opens new tab. The Spanish government opposes BBVA's hostile takeover bid, currently worth around 14 billion euros ($15.55 billion) and rejected by Sabadell on concerns it could lead to job losses. Cani Fernandez, head of the regulator CNMC and in her first comments since the CNMC approved the deal with remedies last month, dismissed competition concerns. She said "there is sufficient activity in the area of small and mid-sized lending, with other operators already in place to accept commitments." Citing as an example, she said Sabadell was losing market share in the lending to small businesses in Catalonia, where it makes most of its business, to "existing banks, including Caixabank, none of which are BBVA, meaning that it is not the closest competitor." BBVA wants to create the second-biggest bank in Spain by loans after Caixabank. Madrid has launched a non-binding public consultation on the matter, an unprecedented move for such deals. The five largest banks in Spain control 70% of the market share after a wave of mergers left the sector with 10 lenders, down from 55 before the financial crisis in 2008. After submitting a seventh set of remedies, BBVA got the CNMC's clearance as it vowed to maintain working capital lines for three years, extendable by two more years, for all small companies working with Sabadell. ($1 = 0.9003 euros)
