SNS Reaal studies 'significant share issue'
Monday 28 January 2013
Financial services group SNS Reaal issued a statement on Monday saying it is exploring various scenarios to ensure a ‘comprehensive solution' to reduce credit risks at its troubled Property Finance division.
This may, or many not involving a split-off of Property Finance, the statement said.
These efforts are ‘focused on a scenario that involves the participation of private investors’, the banking group said. This scenario includes a ‘significant share issue’ but it is still unclear if this will be possible and no decisions have yet been taken.
The future of SNS Reaal has been under intense scrutiny in the Dutch press in recent weeks. SNS Reaal has been hit by heavy losses at its property arm and its share price has been under heavy pressure.
SNS is due to present its annual report on February 14 and insiders expect a solution for the property division will be on the table by then.