logo
Share SHARE
FONT-SIZE Plus   Neg

Warburg Pincus-led Group To Buy 50% Stake In Santander's Custody Business

Grupo Financiero Santander Mexico, S.A.B. de C.V. (BSMX) announced that its parent company, Banco Santander, S.A. has entered into a definitive agreement with FINESP Holdings II B.V, an affiliate of Warburg Pincus, a private equity firm focused on growth investing, to create a leader in the custody business.

As per the terms of the agreement, which is conditional upon legal and regulatory approvals, the group which will also include Temasek, a Singapore based investment company, will acquire a 50% stake in Santander's current custody operations in Spain, Mexico and Brazil. The remaining 50% will be owned by Santander. The transaction is expected to close in the fourth quarter of 2014.

The transaction values Santander's custody operations in these countries at 975 million euros and will generate a net capital gain for the Santander Group of about 410 million euros, which will be used to strengthen the balance sheet.

Santander is a custody provider in Spain, Brazil and Mexico, with 738 billion euros in assets under custody.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
General Mills has announced another expansion to its flour recall in response to four new illnesses that were linked to a possible E. Coli outbreak. The latest recall covers several varieties of Signature Kitchens and Gold Medal flour produced through February 10. General Mill had first announced... Google maps will be more easy to use with its latest update. Traffic information will be more visible with its new cleaner look. Starbucks baristas are now free to express their personal style at work under a new dress code announced by the world's largest specialty coffee retailer. Instead of the familiar solid black, white and khaki clothing underneath their iconic green aprons, baristas can now come for work in a range of colors and outfits that reflect their own personal tastes.
comments powered by Disqus
Follow RTT