Norwegian Bank Sale: The Norwegian Competition Authority has raised concerns about Danske Bank’s planned sale of its Norwegian personal customer business to rival bank Nordea, suggesting potential negative effects on customers. This has prompted an extension of the regulatory review of the deal.
Danske Bank announced in July its intention to sell its Norwegian personal customer and private banking business to Nordea, with the price to be determined “at book value” upon the transaction’s effectiveness.
The regulator stated, “Our preliminary assessment is that there may be reason to fear that the acquisition will impact Norwegian bank customers negatively,” and it will conduct a more thorough evaluation to consider whether there are grounds for prohibiting the acquisition.
Danske Bank has affirmed its expectation that the deal will be finalised by the end of 2024, and Nordea remains committed to the transaction. Nordea Norway’s chief, Randi Marjamaa, noted that the Norwegian banking sector is marked by strong competition, and Nordea is a favorable solution for customers in light of Danske Bank’s decision to exit the Norwegian personal customer market.
The Norwegian regulator is required to release its next assessment by January 12, 2024, at which time it will either approve the deal or notify Danske Bank and Nordea of potential reasons for prohibition.
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Our Reader’s Queries
Who owns Bank Norwegian?
In November 2021, Nordax AB, a Swedish bank, acquired full ownership of Bank Norwegian. A year later, in November 2022, the two banks merged, resulting in Bank Norwegian becoming a branch of Nordax Bank AB.
What is the No 1 bank in Norway?
DNB Bank is the leading financial institution in Norway, boasting the largest assets and one of the highest market capitalizations in the Nordic region. The bank provides a comprehensive suite of financial services, catering to both retail and corporate clients. These services include loans, savings, advisory services, insurance, and pension products. With its extensive range of offerings, DNB Bank is well-equipped to meet the diverse financial needs of its customers.
Which is the leading Nordic bank?
Nordea, a leading financial services group in northern Europe, is headquartered in Helsinki, Finland. Known for its Nordic roots, Nordea offers a wide range of financial solutions to its customers.
What is the second largest bank in Norway?
With total assets that rank it as Norway’s second-largest bank, SR-Bank is a major player in the country’s financial landscape. As of 2020, this institution boasts an impressive portfolio that speaks to its success and influence.