Handelsbanken finalises sale of operations in Denmark

OSLO, NORWAY: Handelsbanken introduced on 20 June 2022 that an settlement had been reached with Jyske Bank A/S regarding the switch of Handelsbanken’s operations in Denmark. All conditions for the transaction have been met and the assets will be transferred on 1 December 2022.

The divestment comprises enterprise relationships with private and company customers, forty two branches and roughly 600 employees. On the switch date, the current worth of the assets reduced by the liabilities assumed by Jyske Bank A/S will be calculated. The remaining quantity will be paid in cash, plus a premium of DKK three billion (approximately SEK 4.4 billion on the current exchange rate).

The transferred assets primarily consist of loans to private and company customers, amounting to SEK 105 billion as at 31 October 2022. The transferred liabilities primarily consist of deposits from the public, amounting to SEK sixty one billion as at 31 October 2022. The final settlement will be carried out after compilation of the balances as of 30 November 2022.

Overall, non-recurring results linked to the transaction, together with dissolution of goodwill amounting to SEK 2.7 billion, are anticipated to have a comparatively impartial impact on the Group’s working revenue and can be accounted for inside Discontinued operations after tax inside the income assertion of the Q4 2022 interim report.

It is anticipated that the transaction will increase the Group’s CET1 capital by roughly SEK 2.5 billion and reduce the Group’s risk-weighted publicity quantity by roughly SEK 25 billion. The final settlement is anticipated to happen in conjunction with the compilation of earnings for Q4 2022.

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