BBVA is to acquire failed Catalonia-based lender Unnim Bank
following an auction conducted by Spain’s Fund for Orderly Bank
Restructuring.
As a result of the deal BBVA will become the
second largest bank in the Catalonia region by loans and the
third-largest by deposits.
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Unnim has assets of around €29bn ($38.5bn),
total loans of €17.5bn and a customer base of around 1m served by
561 branches.
BBVA is aiming to close the deal in the second
half of this year and complete the integration in the first half of
2013.
BBVA chairman Francisco González said:
“This operation is good for BBVA and good for
Unnim.
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By GlobalData“Once again BBVA is demonstrating its
confidence in Catalonia’s future and the integration will certainly
help to strengthen the Spanish financial system,” he added.
The transaction includes an asset protection
scheme financed by the Spanish Deposit Guarantee Fund. It covers up
to 80% of possible losses from Unnim Banc’s real estate exposure
(€5.5bn net of provisions).
BBVA currently ranks as the fourth-largest Spanish bank by
domestic branches with 3,092 outlets behind Lacaixa (5,316),
Santander/Banesto (4,687) and Bankia (3,946).
