Iceland-based Kaupthing bank takes over Dutch NIBC Bank

Competition

Iceland-based Kaupthing Bank on Wednesday announced it will take over Dutch business bank NIBC Holding NV for €2.985 billion ($4.054 billion).

The takeover however excludes NIBC’s US portfolio, which will remain with its owner. NIBC Bank is owned by a shareholders group led by US private equity firm JC Flowers & Co., LLC. The Dutch business bank recently announced that the ongoing crisis on the US credit market had forced the bank to deduct €137 million ($184.7 million) from its US portfolio, limiting its net profit to €3 million. Publishing its half-year results on Wednesday, Kaupthing Bank said the acquisition will make it one of the leading corporate and investment banks focusing on financial services to small- and medium- sized enterprises in Europe.

European Kaupthing Bank offers integrated financial services to companies, institutional investors and high net worth individuals. With a market capitalization of €9.2 billion ($12.4 billion), the bank is currently the seventh-largest in Scandinavia. It has 2,970 employees and total assets of €54.3 billion ($73.2 billion). Kaupthing’s shares are listed on the OMX Nordic Exchange in Iceland and Stockholm.

The European bank operates in 10 countries, including all Nordic countries, Luxembourg, Switzerland, Britain and the United States. The bank operates a retail franchise in Iceland, where it is headquartered. NIBC, founded in 1945, is a Dutch merchant bank focused on the mid-cap segment in western Europe with a global distribution network. The Dutch bank has 718 full-time employees and offices in The Hague, London, Brussels, Frankfurt, New York and Singapore. (monstersandcritics.com)

ADVERTISEMENT

Századvég raises GDP forecast to 7.8% Analysis

Századvég raises GDP forecast to 7.8%

Opposition parties to begin PM candidate primaries Elections

Opposition parties to begin PM candidate primaries

New editor-in-chief at Betone Studio Appointments

New editor-in-chief at Betone Studio

BFK developing regional cycling strategy City

BFK developing regional cycling strategy

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.