Spain's biggest bank Banco Santander is pushing ahead with its plan to list its Mexican unit in September.
Spain’s biggest bank Banco Santander is pushing ahead with its plan to list its Mexican unit in September.
According to press reports, Santander’s Mexican unit plans to raise up to $4bn in the initial public offering, selling a 25% to 30% stake.
The decision to list the unit was initially announced by Banco Santander’s chairman Emilio Botin at the end of June, in order to take advantage of growth in the Latin American country.
Santander Mexico’s outstanding loans were 339bn pesos at the end of June, an increase of 17% from June 2011.
Santander’s profit dropped by 93% at the end of the second quarter percent on costs for purging bad loans. Net income also fell to €100m from €1.39bn the previous year.
Meanwhile, as reported by Reuters, the listing of the bank’ UK business remains on hold for the moment.
The UK arm could float in London in 2013 or in 2014, but the final decision will be based on the economic scenario.