Spain pushes for domestic Bankia merger

Kate Mackenzie — Wed, 18 Jan 2012 05:16:28 +0000

Spain’s new government is pressing for Bankia, a group of savings banks listed last year, to seek a merger with another Spanish bank in a deal that would create the country’s largest domestic lender by assets if it materialised, the FT says, citing unnamed bankers in Madrid. The three possible candidates are Santander, BBVA and Caixabank – the country’s biggest institutions. But the first two have remained profitable through the crisis thanks in part to their foreign investments, and their executives are wary of increasing exposure to the moribund domestic property market. The third, Caixabank in Barcelona, denied on Tuesday that it was in discussions with Bankia, in Madrid, over a possible deal. Bankia also said it was not contemplating such a merger. Spain’s economy ministry, responsible for the financial sector, reiterated the government’s call for a fresh round of bank mergers, while declining to comment directly when asked about Bankia.

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Caixabank to float in wider revamp

Gwen Robinson — Fri, 13 May 2011 04:50:36 +0000

Spain’s Caixabank, the bank carved out of Barcelona-based savings and loan institution La Caixa, will be listed on the stock exchange on July 1 and is expected to be the 10th-largest lender in the eurozone by market cap, reports the FT. The flotation of the bank will mark the start of a new phase in the radical restructuring of the Spanish system of cajas, or savings banks. Spain’s regulators hope it will be followed by further flotations of merged cajas, although analysts say it will be harder for those that follow Caixabank to raise money through the necessary IPOs. La Caixa, larger and more solvent than smaller rivals, began its transformation from a position of financial strength and was also able to use Criteria, its quoted industrial holding company, as a listing vehicle.

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FT Alphaville » caixabank

Spain pushes for domestic Bankia merger

Caixabank to float in wider revamp