Ibercaja plans to go public when there are “market windows” and continue alone

The entity outlines an “own and independent” project for the next three years, focused on increasing its profitability to 7%.

José Luis Aguirre, president of Ibercaja Banco, together with Víctor Iglesias, CEO of the entity, during the presentation of his strategic plan 2021-2023.

Ibercaja maintains its plans to go public as the main stage for your future. The entity can do so until December 31, 2022 after the last regulatory change promoted by the Government and plans to debut in the market within this period.

“This is the preferred option and we are prepared. We will be monitoring the market ”, he explained Victor Iglesias, CEO of the entity, during the presentation of his strategic plan 2021-2023, in which he recalled that the bank was preparing its IPO when the pandemic broke in Spain, in March 2020.

According to Iglesias, the Ibercaja Banking Foundation, which currently has a stake of close to 90% in the bank, continues with its idea of ​​divesting up to 50%, as required by law, through an IPO.

The banker has also stressed that Ibercaja maintains a good capital position, so it is not urgent to go out to the market to carry out an expansion, although it is prepared for its stock market debut.

“The market prospects are not good. We are convinced that there will be market windows throughout this fiscal year and next year“, He has pointed out, for his part, Jose Luis Aguirre, president of the entity. “As soon as we have them, we will be ready and we will resume the process,” he added.

Independence

As both have pointed out on several occasions, Ibercaja Banco is committed to “a own independent project“. “No corporate operation is planned. We will be focused on improving our own project to make it better, more competitive, more attractive, even more resilient, more efficient and more profitable, ”Iglesias added.

That is why, in his opinion, it is “neither on the roadmap nor in the thinking” of the entity. no type of corporate operation within the framework of the new consolidation process that banks are currently undergoing with the CaixaBank-Bankia merger, already materialized, and the Unicaja-Liberbank integration, in process.

Exterior of an IberCaja office in Madrid.

Exterior of an IberCaja office in Madrid.
Eduardo Parra / Europa press.

Iglesias has reflected that, after these two corporate operations, the first five entities in the country will have, “for the first time in history”, a market share in loans and customer resources 70%, well above Germany and the United Kingdom (30%) or Italy (50%).

Bank concentration

“Spain is the country with the highest concentration of banks in recent years and the one with the most concentration. In our opinion, [bancos] We are all solid entities, quite competitive and viable by ourselves ”, explained the CEO of the entity.

In addition, he has stated that, in this scenario, “It would be more important to worry or take care to preserve the level of banking competition and the necessary diversity than to worry about promoting more bank mergers”.

For this lonely future, the bank has designed a strategic plan for the next three years, in which it sets the goal achieve a return on equity (ROTE) of 7%.

It also intends to increase the share of credit in companies by 50 basis points and grow by 8% in asset management (investment funds, pension plans and unit link), as well as increase the insurance portfolio by more than 6% risky.

The entity plans to maintain a CET1 capital fully loaded, the benchmark for the market, above 12.5%, as well as a non-performing assets ratio below 5%.

On the other hand, it plans to multiply by 1.5 the recruitment of new clients in personal banking and private banking, as well as increase the number of clients linked to business banking by 23% and double the annual rate of attracting new clients in this segment.