Shareholders of Portugal’s Novo Banco on Wednesday approved key amendments to the bank\u2019s statutes that pave the way for a public listing, three sources familiar with the matter said.<\/p>\n\n\n\n
According to one of them, the changes approved at the general shareholders\u2019 meeting will only take effect if an initial public offering (IPO) takes place. Two other sources confirmed this decision.<\/p>\n\n\n\n
Novo Banco, Portugal\u2019s fourth-largest bank, is 75% owned by U.S. investment fund Lone Star. In February, the bank began preparations for an IPO, although a full sale has not been ruled out.<\/p>\n\n\n\n
One source noted that a so-called \u201cdual-track process\u201d is underway, in which sellers aim to create competitive tension between an IPO and a direct sale to achieve the highest possible valuation.<\/p>\n\n\n\n
CEO Mark Bourke has long supported the idea of an IPO, which would allow the bank to maintain its independence. Last month, he stated he was targeting either June or September, depending on market conditions and final shareholder approval.<\/p>\n\n\n\n
Novo Banco was created in 2014 following the collapse of Banco Esp\u00edrito Santo (BES), with state support. In 2017, Lone Star acquired a controlling stake. A restructuring fund financed by Portuguese banks owns 13.54% of the shares, while the state holds another 11.46%.<\/p>\n\n\n\n
Novo Banco, Lone Star, the Restructuring Fund, and the Ministry of Finance, which manages the state’s stake, declined to comment.<\/p>\n\n\n\n
In September, sources told Reuters that Novo Banco could be valued at around \u20ac5 billion ($5.69 billion) after the completion of its restructuring. The restructuring focused exclusively on the Portuguese market and achieving stable profitability.<\/p>\n","protected":false},"featured_media":4588,"template":"","acf":[],"yoast_head":"\n