EC: Liberbank/Caja3/Banco Mare Nostrum/Banco CEISS

The EC has concluded that the restructuring plans of the above-mentioned Spanish banks are in line with EU state aid rules. The banks will refocus their business model on retail and SME lending and will either withdraw from lending to real estate development or only maintain a marginal activity in this field – and they will limit their presence in wholesale business. Spain committed to sell Banco CEISS and to have BMN and Liberbank listed before the end of the restructuring period. Caja3 will cease to exist as a stand-alone entity. Caja3 will be fully integrated into Ibercaja. All of the banks committed to pest a number of industrial equity stakes and subsidiaries, limitations on remuneration for state-owned credit institutions; a ban on coupon payments until the burden sharing measures on hybrid instruments have been fully implemented; not advertising the state support nor using it for commercially aggressive practices. An acquisition ban will also apply for Liberbank, Banco CEISS and BMN. Further detail on the EC's assistance to the Spanish banking sector appears in the second link below.