[ad_1]
Banco Santander SA on Friday announced its intention to make a cash offer to buy the outstanding shares of its Mexican subsidiary that it does not already own for a total amount of around 550 million euros ($ 647 million).
The Spanish bank said the offer would target around 8.3% of the share capital of its Mexican subsidiary, with the transaction expected to be finalized in the second or third quarter.
Santander said the deal would strengthen its growth profile and ability to raise capital, improving earnings per share by 0.8% in 2023.
The deal is also expected to generate a return on invested capital of around 14% and reduce the group’s CET1 ratio by around eight basis points, he said.
In addition, Santander confirmed that the activity remained solid in the first quarter, with sales in line with that of the fourth quarter of 2020.
The bank said it expects an underlying return on tangible equity of around 10% by the end of 2021.
Write to Mauro Orru at [email protected]; @ MauroOrru94
Source link
