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Home Fintechs BNP Paribas buys Banco Sabadell depository unit for €115m

BNP Paribas buys Banco Sabadell depository unit for €115m

Spanish bank Banco de Sabadell reported yesterday that it agreed to sell its depositary unit to the french BNP Paribas.

This deal was worth 115 million euros ($127.40 million) and the whole transaction between the Spanish bank and BNP Paribas Securities Services SCA (also known as BP2S), should close during the second quarter of 2021.

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With this Sabadell is expecting to get a net capital gain of €75 million with the closure of the deal which it needs.

“The agreement foresees additional collections after the closing subject to the fulfillment of certain objectives linked to the volume of the assets under deposit of BP2S and the incomes for such commissions,” Sabadell said about the value of the deal.

But this deal is not as simple. It also features some extra post-closing payments subject to the fulfillment of certain objectives linked to the volume of BNP Paribas income on the newly-acquired assets.

Banco Sabadell is the fourth-largest private banking group in Spain. It has recently signed a 10-year deal with IBM worth $1 billion. With this, it seeks the technology giant providing it with hybrid cloud services.

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IBM said that the collaboration will simplify Banco Sabadell’s “dispersed technological infrastructure” and will provide a new ecosystem in which it can move data freely between cloud environments.

BNP Paribas is the world’s eighth-largest bank considering total assets and has a presence in 72 countries.

Sources: https://www.morningstar.com/news/dow-jones/202003301464/banco-sabadell-to-sell-institutional-depositary-business-to-bnp-paribas https://www.reuters.com/article/us-banco-sabadell-m-a-bnp/spains-banco-sabadell-to-sell-depositary-unit-to-bnp-paribas-for-115-million-euros-idUSKBN21H0QU https://www.fintechfutures.com/2020/03/bnp-paribas-snaps-up-banco-sabadell-depository-unit-in-e115m-deal/ https://www.fintechfutures.com/2020/01/banco-sabadell-kicks-off-hybrid-cloud-transformation-with-ibm/

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Jan Cerny
Jan is an innovation enthusiast and Fintech news reporter. He specializes in news distribution, social media, and content analysis.

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