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Posts tagged 'Banco Espirito Santo'
Relisted in Lisbon, Banco Espirito Santo, down 45 per cent at pixel…
Following the disclosure of the exposures to Espírito Santo Group to the market on July 10th, 2014 the Board of Directors learned about the existence of two letters issued by Banco Espírito Santo in favour of creditors of Espírito Santo International, which had not been approved in accordance with the internal procedures in place at the Bank and was not registered in its accounting records as at June 30th, 2014.
Banco Espirito Santo, the Portugese lender which had a few problems earlier this week to do with its complicated corporate structure and then saw its shares temporarily suspended on Thursday, has become this week’s goat on which all scapes may be laid.
Perhaps it is the summer quiet, but a sample of our inbox detects some caprine hitching. Read more
Have you ever heard of Inter-Alpha? We hadn’t until this weekend, although we tend not to frequent the conspiracy sites that lump it in alongside the world’s Bilderbergs, Rothschilds, and the Stonecutters.
It is a group of banks that meet together to, erm, discuss stuff, but there’s no conspiracy. The truth is that Inter-Alpha’s list of members, are much, much more intriguing than that. Read more
European banking stocks are under pressure again on Tuesday morning as investors continue to fret about the eurozone sovereign debt crisis:
We do wonder if you’re right, Theodoros Pangalos.
The Greek deputy prime minister has (rather shamelessly) picked Portugal as the ‘next victim’ of Europe’s sovereign debt crisis, not long after the latter country received a Fitch downgrade. No one said its planned fiscal austerity measures would be easy. Read more
On Thursday we noted that a number of interesting things were happening in the CDS market. Here are some further reflections, via Deutsche Bank’s Jim Reid.
First, Portugal’s 5-year CDS (+28bps yesterday, and +58bps over 48 hours) traded wider than every single name in the iTraxx Main (composed of 125 corporate constituents), except, predictably for Banco Espirito Santo (+70bp wider yesterday to close at 260bp). Read more
Evolution, the UK investment bank, named Portugal’s Banco Espirito Santo as the investor that has amassed a 10% stake and is understood to have told staff that BES had in the past tried to buy the whole company. The shares fell 3p to 117p on the news, as investors and analysts saw the stake as likely to deter any current bidders for the whole company. Speculation about the mystery stakebuilder has been mounting since early last month, when larger than usual volumes of Evolution’s shares began changing hands. The share price rose 16.5% in December before it started to decline last week. BES said there were no discussions about a purchase of the whole company or about a larger stake. For more background see Monday’s Markets Live discussion on FT Alphaville.