Latest news with #NovoBanco
Bloomberg
14 hours ago
- Business
- Bloomberg
Novo Banco Shareholders to Vote on Steps for €1 Billion IPO
Novo Banco SA shareholders will meet on Wednesday to vote on steps needed for a possible initial public offering of the Portuguese lender, although a final decision on whether to carry out a share sale won't be taken yet. The agenda of the June 4 shareholder meeting includes the admission of shares to trading on the stock exchange and the review of the bank's articles of association, a Novo Banco spokesman said. These actions are a 'condition precedent' for the IPO process, but the effectiveness of the resolutions is subject to the final decision of the selling shareholders, according to the spokesman.
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.
Mint
22-05-2025
- Business
- Mint
Portugal Opposes Further Increase in Spanish Banks' Presence
(Bloomberg) -- Portugal's government said Spanish banks shouldn't further increase their presence in the Portuguese market. Spanish lenders now represent about a third of Portugal's banking market, Finance Minister Joaquim Miranda Sarmento said in an interview with television channel RTP3 on Wednesday night. 'I think that value shouldn't increase, due to a matter of concentration and of dependency.' Novo Banco SA, a Portuguese bank that's majority-owned by US private equity firm Lone Star, has said it's preparing for a possible initial public offering. Bloomberg News reported on May 9 that CaixaBank SA of Spain is among suitors exploring a potential acquisition of Novo Banco, according to people familiar with the matter. Novo Banco, Portugal's fourth-biggest lender, posted its first profit in 2021 and its net interest income climbed as central banks raised interest rates. It previously had to shed assets and sell soured debt to reduce its non-performing loan ratio, which was one of the highest in Europe after the bank emerged from the breakup of Banco Espirito Santo SA a decade ago. 'The decision on Novo Banco is up to Lone Star,' Sarmento said. 'If Lone Star decides to sell, it will place that sale in the market, and the potential interested parties will make offers.' Spanish lenders Banco Santander SA and CaixaBank are already among the five biggest banks in Portugal. 'It seems to me that it's in the interest of the country that there isn't an excessive dependency, an excessive concentration in our banking sector in the hands of banks from a single country, as is the case of Spain,' the finance minister said. Lone Star owns a 75% stake in Novo Banco, while Portugal holds 25% through entities including the country's Resolution Fund, which is run by the Bank of Portugal. Novo Banco Chief Executive Officer Mark Bourke said in an interview on May 6 that his bank was 'well advanced' in drafting a prospectus for a possible IPO, which it aims to carry out in June at the earliest. Finance Minister Sarmento said in January that Lone Star plans to sell a stake of about 25% to 30% of Novo Banco in an IPO. The minister has also said that the government won't interfere if state-owned bank Caixa Geral de Depositos SA decides to assess any possible interest in buying Novo Banco. 'What I have always said is that if Caixa analyzes market conditions, and considers that it can make a proposal for Novo Banco on its own or together with another bank, it will have to present that proposal to the shareholder, and the shareholder will make a pronouncement about a concrete proposal,' Sarmento said on Wednesday night. Caixa Geral de Depositos CEO Paulo Macedo said on Feb. 27 that his bank is analyzing the possible acquisition of Novo Banco. Banco Comercial Portugues SA CEO Miguel Maya has said his bank —Portugal's biggest publicly-traded lender— may analyze transactions when it's asked about Novo Banco, while stating that its plans focus on 'organic growth.' JB Capital said in a research report in March that it estimates Novo Banco could be valued at between €5.5 billion ($6.2 billion) and €7 billion. Novo Banco has about €17 billion in corporate loans, €10 billion in mortgage loans and €2 billion in personal loans, according to a May 6 presentation. It has 1.7 million clients. Banco Espirito Santo, once Portugal's biggest lender by market value, got a roughly €5 billion rescue in 2014 after regulators ordered it to raise more capital following the disclosure of potential losses on loans linked to companies in the family-controlled Espirito Santo Group. The Portuguese central bank moved the lender's deposits and most of its assets to Novo Banco. Lone Star then agreed to inject €1 billion in Novo Banco when it bought its stake in the bank in 2017. More stories like this are available on
Bloomberg
14-05-2025
- Business
- Bloomberg
A Portuguese Bank Sale Rekindles Old Fears of Spanish Dominance
Eight years after Portugal agreed to sell the remnants of what was once the country's largest lender to Lone Star Funds, plans by the US investor to sell Novo Banco are reviving deep-seated fears in the country. The bank, which was carved out from the breakup of Banco Espirito Santo SA more than a decade ago, said last week that it may go ahead with an initial public offering as early as June. But Lone Star, which owns 75%, is also considering a full sale of Novo Banco, with Spain's CaixaBank SA among potential suitors, Bloomberg has reported.
Bloomberg
09-05-2025
- Business
- Bloomberg
CaixaBank Explores Deal for Lone Star's Novo Banco
By , Jan-Henrik Foerster, Henrique Almeida, and Pablo Mayo Cerqueiro Save CaixaBank SA is among suitors exploring a potential acquisition of Novo Banco SA, the Portuguese lender backed by Lone Star Funds that is pursuing an initial public offering, according to people familiar with the matter. The Spanish lender has been holding talks with the buyout firm about a deal for Novo Banco, the people said, asking not to be identified as the information is private. The Portuguese bank could also attract interest from other suitors including French banking group BPCE, the people said.
