By WSJ City

Spain's Banco Santander and France's Crédit Agricole are to combine their custody and asset-servicing operations, creating a EUR3.34 trillion custodian business with more scale to compete.

KEY FACTS

--- Custodial banks secure assets for clients such as large institutional investors and fund managers.

--- The deal comes as European banks consolidate, struggling with low returns and high costs.

--- Germany's Deutsche Bank and Commerzbank are currently in talks about a potential merger.

--- The new entity, which is subject to approval, will be the third largest in the eurozone by assets under custody.

--- European custodial banks are smaller than US peers, like State Street.

Details

Santander will transfer its S3 business, which covers Spain and Latin America to CACEIS, the asset-servicing arm of Crédit Agricole.Santander and Crédit Agricole said the impact of the joint-venture on capital and earnings per share won't be material.

A fuller story is available on WSJ.com

WSJ City: The news, the key facts and why it matters. Be deeply informed in less than five minutes. You can find more concise stories like this on the WSJ City app. Download now from the App Store or Google Play, or sign up to newsletters here http://www.wsj.com/newsletters?sub=356&mod=djemwsjcity

(END) Dow Jones Newswires

April 17, 2019 10:44 ET (14:44 GMT)

Copyright (c) 2019 Dow Jones & Company, Inc.
Grafico Azioni Banco Santander (NYSE:STD)
Storico
Da Mag 2024 a Giu 2024 Clicca qui per i Grafici di Banco Santander
Grafico Azioni Banco Santander (NYSE:STD)
Storico
Da Giu 2023 a Giu 2024 Clicca qui per i Grafici di Banco Santander