Shearman & Sterling advised the underwriters, led by UBS and Goldman Sachs, in connection with Banco Popular Español's capital increase of approximately €2.4 billion through a rights offering comprising the issuance of 2,004,441,153 ordinary shares. The syndicate of underwriters also comprised Banco Santander, BBVA, Barclays, Citigroup, Deutsche Bank, Morgan Stanley, HSBC, Credit Suisse, Société Générale, Nomura, Fidentiis and N+1.
Banco Popular Español intends to use the proceeds from the offering to strengthen its balance sheet and improve its profitability ratios, its solvency levels and asset quality.
Banco Popular Español is the sixth largest banking group in Spain, based on total assets, and the market leader in the Spanish small- and medium-sized enterprises segment. It is listed on the Madrid, Barcelona, Bilbao and Valencia stock exchanges.
The Shearman & Sterling team included partner David Dixter, counsel Pawel J. Szaja and associate Oscar Lopez (all London-Capital Markets). Associates Brian Butterwick and Matthew Sherman (all London-Mergers & Acquisitions) assisted on English law matters. Partners Simon Letherman (London-Tax) and Kristen Garry (Washington, DC-Tax) and associates Lois Howarth (London-Tax) and Kammy Lai (Washington, DC-Tax) assisted on tax matters.