Participation in SAREB

RNS Number : 5091T

Banco Santander S.A.

13 December 2012

 

MATERIAL FACT

Banco Santander, S.A. (Santander) reports that, together with the Spanish Fund for the Orderly Reestructuring of the Banking Sector (Fondo de Reestructuración Ordenada Bancaria or FROB), CaixaBank, Banco Sabadell, Banco Popular and Kutxabank, has entered into an agreement for investing in Sociedad de Gestión de Activos Procedentes de la Reestructuración Bancaria, Sociedad Anónima (SAREB). According to the press release published today by FROB, it is foreseen that prior to December 31, 2012 other credit entities and a group of private insurance companies will join SAREB as additional shareholders.

Under the agreement Santander has committed up to 840 million euros (of which 25% in equity and 75% in subordinated debt), representing approximately 16% of the share capital in SAREB. Part of the investment, in the form of share capital, has been paid in with the rest being scheduled in several steps, as assets are transferred to SAREB by the contributing entities, in a first stage those already controlled by FROB (Banco Financiero y de Ahorros - including Bankia -, Catalunya Banc, NCG Banco and Banco de Valencia) and in a second stage the entities undergoing a restructuring process (Banco Grupo Cajatres, Liberbank, Banco Caja España de Inversiones, Salamanca y Soria, S.A. - Banco CEISS - and Banco Mare.

Boadilla del Monte (Madrid), 13 December 2012

 

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