Credito Valtellinese SpA will take a 22% stake in Custodia Valore - Credito su Pegno SpA after the companies and Dorotheum Beteiligungs GmbH agreed Aug. 9 to create a partnership focused on the loans-against-pledges market in Italy.
Custodia Valore was created after Dorotheum, one of the largest auction houses in the world, acquired UniCredit SpA's pawn credit business in July.
Under the terms of the partnership, Creval's loans-against-pledges unit will be transferred to Custodia Valore, which will also use Creval's information system and receive credit facilities from the Italian bank.
In return, Creval will assume a 22% stake in Custodia Valore's share capital. Dorotheum will hold the remaining 78% once the deal closes at the end of 2018.
The bank said the partnership is in line with its 2018-2020 strategic plan and will allow it to make a net capital gain estimated at €44.5 million, with a positive impact on its common equity Tier 1 ratio estimated at about 5 basis points.
Deloitte Financial Advisory SRL acted as a financial adviser for Creval and Studio Legale Galbiati Sacchi e Associati acted as a legal adviser.
For Dorotheum and Custodia Valore, KPMG Corporate Finance acted as a financial adviser for mergers and acquisitions, debt and structuring of the transaction; KPMG SpA as a financial adviser for transaction services and due diligence; and Studio Legale Associato Santa Maria as a legal adviser.