CaixaBank Readies For Welcoming a New Stakeholder in CaixaCard

4/06/2014 – Expansion

No novelty is that CaixaBank aims at driving the value of its specialized branches up. The bank chaired by Isidro Fainé is at the verge of selling a 20% stake in CaixaCard 1 Establecimiento Financiero de Crédito, its affiliate with expertise in credit cards management.

The financial entity will transfer a between 15%-25% share in the company totally valued at €2.5 billion. Thus, a 20% stake is worth of around €500 million. Two private equity funds, General Atlantic and Warburg Pincus, outstand as favourites at the bidding. Both investors already hold 49% of Santander Asset Management.

CaixaCard, set up at the end of 2012, manages 12.6 million credit cards in Spain. During the last year, purchases realized with a CaixaBank´s card soared up 19% to nearly €22.5 billion and consequently provided the bank with a 20.7% market share.

The target of the branch´s directors is to make it a company independent from its mother entity.

Aside from CaixaCard and Comercia Global Payments (born from the merger of the Catalonian entity and U.S. Global Payments), CaixaBank owns a third business linked to the plastic money, CaixaBank Electronic Money that issues pre-payment cards Money to Pay (M2P).


Original article: Expansion (by S. Saborit)

Translation: AURA REE