The bank that many associate with farmers in their Wellington boots, is tipped to take over Spain’s BBVA operations in Portugal.
According to Spanish newspaper El Confidencial, four banking groups have expressed interest in the struggling subsidiary of Banco Bilbao Vizcaya Argentaria – but Crédito Agrícola (CA) is the one BBVA finds most attractive.
CA is a Portuguese cooperative with 80 local banks and a nationwide network of around 700 agencies.
In rural areas, it is still a bank where people walk in straight off the fields and where bank managers assist clients personally* – but as the years have passed, it has been changing its image. In April this year, CA’s president Licínio Pina revealed the group was looking to expand through acquisitions – and now this opportunity has arisen.
BBVA announced in March that it would be closing down in Portugal, hot-on-the-heels of a similar announcement by Barclays Bank.
BBVA lost around 100.000 euros in Portugal last year, and currently runs over 80 outlets – employing 750 people.
Other banks understood to be interested in BBVA are Angolan groups BIC and Banco Atlântico, and the Spanish Santander Totta.
El Confidencial reveals CA could pay up to 500 million euros for BBVA’s operations.
Meantime, Barclays Bank is believed to be in negotiation with the BIC, although BIC are not thought to be interested in taking over all Barclay’s branches.
