With a $245 million wallet, Global Bank goes shopping.

Global Bank acquired 99.972% of the shares of Banvivienda, for an estimated price of USD $245 million a transaction that reduces the banking market in Panama and continues to concentrate on large players.

As part of the transaction, Banvivienda shareholders will continue in the banking business with 5% of Global Bank’s capital stock.

The transaction is subject to approval by the Superintendency of Banks and the Superintendency of the Securities Market, is expected to be completed by the end of this year.

The agreement with Banvivienda will allow Global Bank to incorporate more than 39,000 customers and a network of 11 branches, which will be added to the more than 165,000 customers and 35 branches that the bank has today.

In addition, Banvivienda will provide an attractive loan portfolio of USD $ 1,380 million (with emphasis on medium-market commercial loans, agricultural and residential mortgages) and deposits of US $ 1,268 million.

The acquisition will allow Global Bank to strengthen its position in the market, consolidating itself as the second private bank of Panamanian capital in the market in terms of assets, loans, and deposits, with a market share of 8.5%, 9.7%, and 6.7%, respectively.

“This transaction creates a unique opportunity to strengthen our banking operations in Panama, increasing our market share, service network, and customer base. We are convinced that this operation will be highly beneficial for our customers, employees, and shareholders, allowing us to join forces with Banvivienda’s team and take advantage of important synergies and economies of scale.

From our origins, our growth strategy has been focused on growing in the Panamanian market and today we demonstrate with facts the commitment that shareholders have with the future of Panama and its economy, ”
said Jorge Vallarino Strunz, CEO of Global Bank.

Also, the President of Banvivienda, Fernando Lewis Navarro, has indicated that “it fills us with satisfaction to have finalized this transaction with Global Bank, which allows the shareholders of Banvivienda to take advantage of the opportunities presented with the new tendencies of banks consolidation in the financial markets.”