Banco Bilbao Vizcaya Argentaria SA agreed to sell unit BBVA Paraguay SA
The sale price is subject to adjustments until the closing of the transaction, expected to take place in the fourth quarter pending regulatory approvals.
The Spanish lender said the deal is expected to result in roughly €20 million in net capital gains and will boost its fully loaded common equity Tier 1 capital ratio by about 5 basis points.
BBVA Paraguay's total assets stood at $2.1 billion as of June-end. Following the integration of BBVA Paraguay, Banco GNB Paraguay will have total assets of $3.25 billion and will hold 16.7% of the market share in the country, based on data from the close of the first half.
BBVA reaffirmed its commitment to Latin America and said it will continue investing in the region, which is among its strategic areas of growth.
