Goldman Sachs advises SNS Real about 'rigorous' shake-up
Friday 13 July 2012
Dutch financial services group SNS Real has brought in Goldman Sachs to look into various scenarios for restoring its financial health, the Financieele Dagblad said on Friday.
This could include selling the Reaal and Zwitserleven insurance arms, the paper said, quoting 'various sources'.
At the same time, the finance ministry has commissioned Morgan Stanley to assess the position of SNS Real, given that it may not be in a position to repay state aid by the end of next year. SNS Real is the fourth-biggest Dutch bank.
The bank does not have short term problems but may face trouble repaying the €848m it borrowed from the state during the credit crisis. Its property arm Property Finance is also loss-making and the bank needs to boost its capital buffers, the paper says.
According to Nos television, the sale of the two insurance units could raise as much as €1.5bn.
In a statement, SNS told the paper 'we are looking into various options together with advisors, in discussion with the Dutch state. The sale of units is one of the options.'
The finance ministry refused to comment.