trending Market Intelligence /marketintelligence/en/news-insights/trending/znvyR1X8ymizOqxWX0FUow2 content esgSubNav
In This List

Norway takes Metro Bank stake; UBS nears Italy settlement; SIX Group fine upheld


Investment Banking Essentials Newsletter: 31st May edition

Case Study

Central European Broadcaster Monetizes Content with a New Online Streaming Service


Debt Ceiling Debate: IR Teams Should Prepare for Potential Market Downturns


Insight Weekly: Loan-to-deposit ratio rises; inventory turnovers ebb; miners add female leaders

Norway takes Metro Bank stake; UBS nears Italy settlement; SIX Group fine upheld

* ECB Vice President Luis de Guindos has called for closer regulatory oversight of the nonbank financial sector, or shadow banking, as it is potentially vulnerable and regulation is still in its infancy. De Guinos said regulators must improve their risk identification and monitoring of the sector, while international cooperation was needed to develop tools for stress testing and to look for tipping points.

* German monetary hawks are lobbying to have Jens Weidmann elected as the next ECB president amid concerns that Germany could lose out on the top EU posts that will be vacated this year, the Financial Times wrote. The push comes as Manfred Weber, a Bavarian member of the European Parliament with no government experience, faces a hurdle in his bid to become the European Commission's next president.

* Joachim Wuermeling, a board member of the German central bank, said the increasing use of digital technology by banks has become the biggest challenge for regulators since the 2008 financial crisis, adding that digitization should be considered a "moving target," Bloomberg News reported.


* U.K. Prime Minister Theresa May offered Parliament a vote on whether to hold a second Brexit referendum, but on the condition that lawmakers backed her withdrawal agreement in the first round of voting. Labour Party leader Jeremy Corbyn criticized May's proposal, saying it was merely packaged differently and reflects "the same old bad deal," which his party would not back.

* The U.K.'s impending departure from the EU could lead to better oversight of the country's financial system, Sam Woods, deputy governor of the Bank of England, told Bloomberg TV. Woods said a "British style" approach with less detailed rules written in legislation and more flexibility for regulators would make responding to threats easier.

* More than 20% of investors of U.K.-based Metro Bank PLC have voted against the bank's remuneration report, while 12% voted against the re-election of Chairman Vernon Hill at its annual general meeting yesterday. Around 10% voted against the re-election of CEO Craig Donaldson and some 11% opposed CFO David Arden.

* Norway's central bank has acquired a 3.10% stake in Metro Bank last Friday, a day after its £375 million equity raise, the lender said in a regulatory filing.

* London Stock Exchange Group PLC officials are on a roadshow to attract more African listings, banking on partnerships with other bourse operators including in Nigeria and Kenya, Bloomberg reported, citing Ibukun Adebayo, LSE's director of emerging markets and international markets. The officials also plan to visit the Ivory Coast, Egypt and Morocco, with a final stop in New York under an initiative by the U.N.

* British payments firm TransferWise Ltd. raised $292 million in a secondary funding round led by Lead Edge Capital, Lone Pine Capital and Vitruvian Partners, doubling its valuation to $3.5 billion, Reuters reported. BlackRock Inc. also participated in the funding round, according to Financial News.

* IG Group Holdings PLC expects its 2022 revenues to be 30% higher than this year, on the back of its new medium-term targets. The group targets a revenue growth in its core markets of 3% to 5% annually over the medium term, while increasing to roughly £160 million from £100 million the revenues in its significant opportunities division.


* UBS Group AG is reportedly close to clinching a roughly €100 million settlement with Italy over a tax evasion case in the next few weeks. The Swiss lender previously said it faced claims from Italian tax authorities and prosecutors related to its activities in a five-year period beginning in 2012.

* The Swiss Federal Administrative Court confirmed that stock exchange operator SIX Group AG must pay a fine of approximately CHF7.0 million for abusing its dominant market position as a card acquirer between 2005 and 2007, upholding a previous decision by the Competition Commission. SIX Group sold its payments unit to Worldline SA last year.

* Representatives of the Qatari royal family, Cerberus Capital Management LP and China's HNA Investment Group Co. Ltd., all major shareholders of Deutsche Bank AG, have internally discussed proposing to replace Paul Achleitner as the German lender's chairman even before his term lapses in 2020, insiders told Bloomberg. Meanwhile, executives at Union Investment GmbH and German Protection Association for the Ownership of Securities told Handelsblatt that their organizations will discharge both the executive board and the supervisory board of Deutsche Bank. The bank's annual general meeting will take place tomorrow.

* Deutsche Bank has discovered a mishap in its IT systems that are supposed to monitor payments from major customers. A program has been configured incorrectly for years so that payments could not entirely verified, sources told Süddeutsche Zeitung.

* Berlin-based savings and investment marketplace Raisin GmbH said it is entering the $12.7 trillion U.S. deposits market, and has appointed Paul Knodel CEO for the country to lead its expansion ambitions.

* Berlin-based venture capital firm FinLeap GmbH plans to set up a new comparison portal for financial products to compete with market leader CHECK24 Vergleichsportal GmbH, supported by China's Ping An, which will finance the venture with a three-digit-million euro amount, reported.


* Société Générale SA Frédéric Oudéa said a merger between the French banking group a European peer would need to create value and would not be the answer to the bank's share price, which has plummeted nearly 40% over the past year. Oudéa added that SocGen's priority in the coming quarters is its strategic plan.

* Chinese investor group Fosun International Ltd. has boosted its stake in Belgian insurer Ageas SA/NV to 5% from 3%, according to De Tijd. Another Chinese investor, Ping An, already controls more than 5% of Ageas.


* Cassa Centrale Banca Credito Cooperativo Italiano SpA is organizing the sale of a nonperforming loan portfolio with a gross value of €360 million on behalf of 39 small cooperative lenders, according to MF.


* Danish insurance company Dansk Sundhedssikring was sold to private equity firm AnaCap Financial Partners LLP for an undisclosed sum, Finanswatch reported. AnaCap acquired the holding company Sundhedsgruppen A/S, which includes health services company PrimaCare, in addition to Dansk Sundhedssikring.


* Baring Vostok Capital Partners Ltd., which controls Russia's Public Stock Co. Orient Express Bank, filed another lawsuit against the lender, demanding its board should set a date for a shareholders meeting and approve a new list of candidates to the board, news agency RBC reported.

* French insurer Axa's Polish unit launched a collaboration with Polish cooperative banks and will start selling credit, life, accident and medical insurance in three local lenders, with a wider range of services to be offered in further 10 cooperative banks in the near future, Puls Biznesu wrote.

* Moldova opened a single Central Securities Depository after two years of preparatory work, with the new institution to be responsible for the registration, safekeeping and settlement of securities issued by Moldovan entities.


Asia-Pacific: 4 Indian banks eye potential M&A deal; Chinese bank opens Prague branch

Middle East & Africa: Nigeria raises insurers' capital requirements; DR Congo names new prime minister

Latin America: Grupo Aval Q1 profit up 27.6%; Jamaica cuts key rate

North America: 2 Arkansas banks in deal; SEC again postpones decision on bitcoin ETF

Global Insurance: Insurers to fund MGM Vegas shooting bill; Voce withdraws nominees; Safe Auto IPO


Goldman Sachs chairman surprised UK has failed to put City at center of Brexit talks: Former president of the European Union Jose Manuel Barroso said financial services are by far the most important part of the British economy, and is surprised the U.K. has failed to ensure the sector was its main concern in Brexit talks.

Bahrain reinsurer says funds on the way after accounts reveal $92M capital hole: Trust International Insurance's auditor said its future is uncertain, but the company itself insists it has the resources to continue, with a $353 million capital injection on the way from its parent company.

Moody's: European banks increasing business in renewable energy: European banks have financed more than €100 billion in renewable energy profits since 2013 and are likely to continue doing so as the EU estimates €180 billion is needed annually to make the EU economy more energy efficient.

Deza Mones, Arno Maierbrugger, Danielle Rossingh, Esben Svendsen, Beata Fojcik, Heather O'Brian, Stephanie Salti, Sophie Davies and Mariana Aldano contributed to this report.

The Daily Dose has an editorial deadline of 7 a.m. London time. Some external links may require a subscription. Links are current as of publication time, and we are not responsible if those links are unavailable later.

This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings. Descriptions in this news article were not prepared by S&P Global Ratings.