Ageas weighs BCP stake if Fosun exits bank

Belgian insurer Ageas is assessing a possible investment in Millennium BCP if China’s Fosun decides to sell its holding in Portugal’s largest listed bank, according to ECOnews reporting based on market sources. The move could reshape the shareholder base of a major Portuguese lender at a time when BCP is trying to broaden its investor base.

Ageas, which has a long-standing bancassurance partnership with BCP in Portugal through Ocidental, declined to comment on what it called market rumours. But ECOnews understands the insurer could end up with a stake of around 5%, although no decision has been made and the situation remains open.

Fosun currently holds just over 20% of BCP and is reviewing options for its stake, which Expresso previously reported was worth about €2.7 billion. The Chinese group once held nearly 30% of the bank, but began reducing its position two years ago, including a private placement of a 5.6% block with institutional investors for about €235 million.

BCP chief executive Miguel Maya told ECOnews in an earlier interview that he would like both Fosun and Sonangol, the Angolan state-owned oil company that holds 19.9% of the bank, to remain as shareholders, while also bringing in new investors. He said the bank is now prepared for any shareholder exit and able to avoid disruption to customer service if that happens.

Maya has also argued that BCP’s dividend policy can help attract investors as the bank adapts its ownership structure. Earlier this year, BCP announced shareholder remuneration equal to 90% of annual profit, a more aggressive stance that places it among the more generous southern European banks in capital returns, according to the material provided.

Originally published at Eco.pt