Sampo has further reduced its ownership in Nordea by selling nearly $1.69bn worth of stake in the bank.
The Finnish financial group sold 162 million Nordea shares to institutional investors at a transaction price of €8.50 per share. The figure represents around 4% stake in the bank, according to Bloomberg.
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The sale generated gross proceeds of €1.377bn ($1.69bn).
Following the sale, Sampo holds 480,924,782 Nordea shares, representing 11.9% of all shares and voting rights in Nordea.
In a statement, Sampo said: “Sampo makes a sales gain of approximately €93m, including recycling of previously recognised other comprehensive items of approximately -€30m, from the transaction. The sales gain will be treated as an extraordinary item.”
BofA Securities Europe, Citigroup Global Markets Europe and Barclays Bank Ireland acted as joint bookrunners of the transaction.
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By GlobalDataThe divestment is aligned with Sampo’s plan to offload its entire stake in Nordea. The exit will help the company to provide more focus on P&C insurance operations.
According to a Bloomberg report, the company will sell all its shares in Nordea within 12 months after its ownership falls below 10%.
Sampo has also entered into a lock-up undertaking and agreed not to less anymore Nordea shares before 23 August 2021. This is subject to certain exceptions.
Nordea is one of the largest banks in the Nordic region.
In March, the lender selected AxiomSL to meet evolving risk and regulatory requirements.
