The BBVA Group sold a 1.7% stake in CNCB in the market for about €554 million, with net capital gains of about €177 million and thus concluding the sale of nearly its entire stake in the Chinese bank. Since the beginning, the investment in CNCB as a whole has generated a positive cash flow for BBVA of about €1.3 billion.
The sale of BBVA’s 1.7% stake in CNCB is part of a gradual divestment plan in the Chinese bank. Since the initial investment and in terms of cash flow, BBVA has received over €4.6 billion from the sale of CNCB shares and dividend payouts compared to about €3.3 billion invested in the Chinese bank, which translates in a positive cash flow for BBVA of about €1.3 billion.
In the operation announced today, BBVA sold a 1.7% stake in the market for about €554 million, generating a net capital gain of about €177 million. The transaction made public today increases BBVA’s CET1 capital ratio by about four basis points. BBVA’s stake in CNCB stands now at around 0.3%.