In Lisbon on February 7th, Santander's Portuguese bank CEO Pedro Castro Almeida stated that they are not interested in acquiring Novo Banco, emphasizing their focus on organic growth. Almeida previously noted in November that Santander Totta might consider a merger with Novo Banco depending on the price.
"We don't want to buy Novo Banco. We closely monitor market trends and adhere to our organic growth strategy," Castro Almeida told reporters as reported by economic news service ECO.
Majority-owned by U.S. fund Lone Star, Novo Banco is reportedly considering an IPO or a complete sale valued at about 5 billion euros ($5.21 billion), with a potential merger with another Portuguese bank on the horizon.
Formed in 2014 following a bailout of collapsed Banco Espirito Santo, Novo Banco is now predominantly owned by Lone Star, with the Portuguese resolution fund and state retaining a 25% stake. The Bank of Portugal's Governor recently expressed support for a Novo Banco IPO, highlighting the need for cautious consolidation to maintain progress in capital, liquidity, and costs.
Despite suggestions of potential mergers in Portugal's banking sector, Millennium bcp's CEO, Miguel Maya, has indicated a preference for Novo Banco to continue operating independently. While Maya acknowledges the possibility of considering a purchase at the right conditions, the primary goal remains shareholder remuneration.