DC Advisory advised BMN on the reorganisation of the exclusive distribution agreements with Caser in the General Insurance business

Background

• BMN is a financial institution created in 2010 from the merger of four Savings Banks: Caja Murcia, Caixa Penedès, Sa Nostra and Caja Granada
• In December 2010, it had a commercial network of 1,674 branches
• Its operations are focused on retail banking in the Mediterranean coast (91% of the branches). In addition, BMN has a significant presence in Madrid

Process

• DC Advisory (DC) advised BMN on the reorganization of its distribution agreements in General Insurance, establishing a new partnership with Caser as exclusive insurance partner across BMN’s branch network
• BMN is the bank resulting from the merger of the following Savings Banks: Caja Murcia, Caixa Penedès, Sa Nostra and Caja Granada
• DC advised BMN throughout the process, contacting potential bidders and assisting BMN in negotiating all key economic and contractual aspects of the transaction
• The deal was structured through a single agency contract for the entire network of BMN and the disposal of Caixa Penedès Assegurances Generals (100%), the Non-Life Insurance subsidiary of Caixa Penedès
• The price was structured as a payment disbursed at closing, and potential additional earn-out payments subject to performance
• With this transaction, DC strengthens its leadership in the Spanish FIG / Insurance sector, having advised on the only two bancassurance reorganizations already completed after the recent concentration of Savings Banks