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Heading to BRIC hat in hand to re-capitalize. Clever move.
http://www.bloomberg.com/apps/news?p...d=aoI5fT2HAZFw
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Sept. 21 (Bloomberg) -- Banco Santander SA, Spain’s largest bank, aims to raise as much as 13.1 billion reais ($7.2 billion) by selling shares in its Brazilian business to fund expansion of the unit and bolster the group’s capital.
Banco Santander (Brasil) SA will sell 525 million units at 22 reais to 25 reais, the Spanish lender said today in a statement. Each unit will include 55 common shares and 50 preferred shares. The offering, managed by Credit Suisse AG, is equivalent to 16.2 percent of the current capital of the Brazilian unit, Santander said.
“The maximum amount is slightly higher than I expected and it may be an indication of strong demand,” said Daragh Quinn, an analyst at Nomura International in Madrid. “The sale will strengthen Santander’s capital position and will help fund possible growth opportunities in Brazil.”
Santander Chairman Emilio Botin said last year the bank planned to invest 2.56 billion reais in Brazil and open 400 branches as it seeks to become the country’s biggest non- government lender. The bank, based in the Spanish city of the same name, is also boosting capital as its businesses are buffeted by recessions in Spain, the U.K. and Mexico. "
http://www.bloomberg.com/apps/news?p...d=aoI5fT2HAZFw
"
Sept. 21 (Bloomberg) -- Banco Santander SA, Spain’s largest bank, aims to raise as much as 13.1 billion reais ($7.2 billion) by selling shares in its Brazilian business to fund expansion of the unit and bolster the group’s capital.
Banco Santander (Brasil) SA will sell 525 million units at 22 reais to 25 reais, the Spanish lender said today in a statement. Each unit will include 55 common shares and 50 preferred shares. The offering, managed by Credit Suisse AG, is equivalent to 16.2 percent of the current capital of the Brazilian unit, Santander said.
“The maximum amount is slightly higher than I expected and it may be an indication of strong demand,” said Daragh Quinn, an analyst at Nomura International in Madrid. “The sale will strengthen Santander’s capital position and will help fund possible growth opportunities in Brazil.”
Santander Chairman Emilio Botin said last year the bank planned to invest 2.56 billion reais in Brazil and open 400 branches as it seeks to become the country’s biggest non- government lender. The bank, based in the Spanish city of the same name, is also boosting capital as its businesses are buffeted by recessions in Spain, the U.K. and Mexico. "
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