The involvement of the American financial giant, bought on behalf of other investors, makes it the main shareholder of both banks and is valued at more than 6,000 million euros on the stock market.
Goldman Sachs becomes major shareholder of both Santander Bank like As reported by the financial institution itself to the National Securities Market Commission (CNMV), BBVA owns more than 7% of the capital of both institutions. The American financial giant made these moves on December 2, as reflected in the regulator’s documents, but it wasn’t until Monday, when it was surprisingly made public after mandatory notification to the CNMV. The stock market value of shares in both entities exceeds 6,000 million euros. A large portion of both holdings is expressed through financial derivatives.
Goldman’s move has caused great perplexity in the financial industry, where there is speculation as to whether Goldman bought these shares under the title of a US bank or whether they were made for other investors. According to market sources, both subsidiaries respond to so-called client transactions, i.e. taking positions on behalf of a particular investor and above all on behalf of mutual funds. This operation performed in the tables, trade international has the feature that it can be diluted in a few days or maintained over time, depending on the investors’ purposes. Referenced sources also underline that participations through financial derivatives do not give an option to request entry into the system. BBVA and Santander boards.
In Santander’s case, The US presence emerged for the first time with a 7,465% stake in the bank’s equity.It represents approximately 1,200 million shares, with a total value of 3,485 million euros at Santander’s current price. 7,198% of the shares are expressed in financial instruments including options, futures and swaps, and the remaining 0.297% is expressed in voting rights. Thus, Goldman Sachs is, for a moment, ahead of other major Santander investors such as BlackRock (5,426%), Dodge & Cox (3,038%) or Norges Bank (3,006%).
As for BBVA, The American bank entered the capital of the asset already in mid-April.when it came to controlling 5.9% of the capital, mainly through financial instruments, but quickly reduced the position to 0.760%. Since then, it has remained at this level so far, reporting a 7.409% stake worth €2,455 million, given the price at which the asset is currently listed on the Exchange. He becomes the first major BBVA shareholder, albeit momentarily, from BlackRock, which owns 5.917% of the bank’s capital.
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As in the case of Santander, Goldman Sachs controls 6,871% of BBVA’s equity through derivativesthe remaining 0.592% is through voting rights.
In the financial sector, it is worth noting that Goldman’s striking position in BBVA and Santander, among other factors, is in response to the growing interest of international investors in taking positions in Spanish banks on the stock market. especially after the adjustments and depreciations made, it was valued significantly below the current prices, which did not reflect its potential. It is also notable that it coincided with the controversy that arose after the government approved the bank tax to collect 3,000 million. Both the industry employers’ association, the AEB, and the organizations themselves have been harshly critical of this measure, which they guarantee will affect not only the financial business but also Spain’s economic growth and job creation.