BankNordik intends to strengthen its strategic focus and reduce its geographic span.
“BankNordik increases its focus on dividend payments to the shareholders by improving the profitability and free capital from non-strategic business areas. Amongst others a process for the sale of the bank’s Icelandic insurance companies is, therefore, being initiated” says Janus Petersen, CEO.
Vørður Tryggingar hf. and Vørður Líftryggingar hf. are well managed companies undergoing a positive development, and the bank will of course optimize both prize and terms. BankNordik has mandated Icora Partners, www.icorapartners.com, to manage the sales process and the contact to potential buyers on behalf of BankNordik.
Due to restrictions valid until the end of June 2017 on the sale of 49% of BankNordik’s shares in Vørður Tryggingar hf. and Vørður Líftryggingar hf., a sale of this minority stake most likely will be postponed to such later point in time.
Following a full sale at booked value it is expected that BankNordik’s group solvency, calculated in accordance with the coming CRD IV regulations, increases by 0.9 percentage points and by 0.6 percentage points if only a majority stake of 51% is sold at book value. Following the completion of a sale of the 51% of the shares at book value BankNordik’s group core capital will increased by DKK 76.3m.
It is the intention of BankNordik’s board of directors that an amount corresponding to the increase in the bank’s group core equity related to the sale is to be paid as dividend to the shareholders.
Contact:
Janus Petersen, CEO, tel. (+298) 330 340
BankNordik has banking activities in Denmark, Greenland and the Faroe Islands and insurance activities in the Faroe Islands and Iceland. Founded in the Faroe Islands more than a century ago, the Group has 170,000 customers, total assets of DKK 16bn and approximately 480 employees. The Bank is subject to the supervision of the Danish Financial Supervisory Authority and is listed on NASDAQ OMX. www.banknordik.dk.
Disclaimer. Certain statements made in this announcement are forward looking statements. Any statements other than statements of historical fact, including without limitation those regarding BankNordik’s financial condition, future operating performance, business strategy, management plans and objectives for future operations prospects for the group are forward looking statements. Such statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual results and performance to differ materially from any expected future results or performance, express or implied, by the forward looking statements. Factors that might cause forward looking statements to differ materially from actual results include, among other things, general economic and business factors, competition, and interest rate and currency fluctuations. These statements may not be regarded as a representation that anticipated events will occur or that expected objectives will be achieved. The information presented herein speaks only as of today’s date and BankNordik assume no responsibility to update any of the forward looking statements contained herein.
