LSE.co.uk
HomeShare PricesShare ChatFinance NewsSharecast NewsRegulatory NewsShares BookshopFinance ToolsMembers
Latest Share Chat
Finance & Stock Market News
EU's Kroes says bank selloffs will find buyers
Wed, 25th Nov 2009 14:22
BUDAPEST, Nov 25 (Reuters) - Banks bailed out by EU governments will manage to find buyers for the assets they must offload to satisfy competition rules, EU Commissioner Neelie Kroes said on Wednesday.
Kroes told reporters in Budapest that it was wrong to assume banks will face big difficulties finding buyers for the assets they must sell.
'Is there a buyers' market? There is. And all those who are saying there is no buyers' market, I can not agree upon that,' Kroes said. 'And by the way there are still some banks ... that are very smart, and they were very smart ... and they are absolutely interested in (buying).'
EU governments have injected hundreds of billions of euros into their financial institutions in the wake of the financial crisis, and the Commission is now reviewing bailouts to ensure the lenders do not get an unfair advantage.
Banks are being forced to sell off assets, reduce market share and halt dividends as the price for state aid, and some experts said the attempts by Kroes to rebalance the competitive landscape after the bailouts are much more stringent than those in the United States.
The EU executive had earlier approved restructuring plans for British lender Lloyds Banking Group Plc, Dutch bancassurer ING and Belgian banking and insurance group KBC.
The Commission has yet to rule on Royal Bank of Scotland's overhaul, details of which the British lender set out earlier this month. Germany's Hypo Real Estate, LBBW, the country's largest state-backed regional lender, and BayernLB are also under investigation.
On a separate issue, Kroes also said in Budapest that she expected to make an announcement before the end of her mandate as competition commissioner on drug companies, relating to deals with makers of generic medicines.
'Obviously we are still to be expected in office till the
third week of Janaury, and you will hear from me on the pharmaceuticals,' she said.
In her July report into the sector Kroes said that delays in bringing generic drugs to the market had cost consumers and healthcare providers billions of euros.
(Reporting by Krisztina Than and Marton Dunai; Editing by Greg Mahlich) Keywords: BANKS EUROPE/KROES
(krisztina.than@reuters.com; tel +36 309 865 969; rme krisztina.than@reuters.com.net)
COPYRIGHT
Copyright Thomson Reuters 2009. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Kroes told reporters in Budapest that it was wrong to assume banks will face big difficulties finding buyers for the assets they must sell.
'Is there a buyers' market? There is. And all those who are saying there is no buyers' market, I can not agree upon that,' Kroes said. 'And by the way there are still some banks ... that are very smart, and they were very smart ... and they are absolutely interested in (buying).'
EU governments have injected hundreds of billions of euros into their financial institutions in the wake of the financial crisis, and the Commission is now reviewing bailouts to ensure the lenders do not get an unfair advantage.
Banks are being forced to sell off assets, reduce market share and halt dividends as the price for state aid, and some experts said the attempts by Kroes to rebalance the competitive landscape after the bailouts are much more stringent than those in the United States.
The EU executive had earlier approved restructuring plans for British lender Lloyds Banking Group Plc, Dutch bancassurer ING and Belgian banking and insurance group KBC.
The Commission has yet to rule on Royal Bank of Scotland's overhaul, details of which the British lender set out earlier this month. Germany's Hypo Real Estate, LBBW, the country's largest state-backed regional lender, and BayernLB are also under investigation.
On a separate issue, Kroes also said in Budapest that she expected to make an announcement before the end of her mandate as competition commissioner on drug companies, relating to deals with makers of generic medicines.
'Obviously we are still to be expected in office till the
In her July report into the sector Kroes said that delays in bringing generic drugs to the market had cost consumers and healthcare providers billions of euros.
(Reporting by Krisztina Than and Marton Dunai; Editing by Greg Mahlich) Keywords: BANKS EUROPE/KROES
(krisztina.than@reuters.com; tel +36 309 865 969; rme krisztina.than@reuters.com.net)
COPYRIGHT
Copyright Thomson Reuters 2009. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Member Services
Completely FREE with online Share Chat!
FREE Portfolio and Personalised Watchlist
Completely FREE with online Share Chat!
FREE Portfolio and Personalised Watchlist
