ES-2017-01 · Spain · 2017
Banco Popular resolved overnight and sold for one euro; Spanish court proceedings follow
The Single Resolution Board determined the bank was failing or likely to fail and it was sold to Banco Santander for one euro, wiping out shareholders and junior bondholders. Spain's Audiencia Nacional examined the bank's 2016 capital increase and its reporting.
- Institution
- Banco Popular Español S.A. (resolved)
- Authority
- Single Resolution Board / Audiencia Nacional
- Status
- Resolution completed; proceedings continued
- Theme
- Bank resolution · disclosure to investors
- Raised by
- Resolution authority decision, then criminal complaint
- Jurisdiction
- Spain
- Matter arose
- 7 June 2017
- Last recorded
- 30 November 2022
- Amount
- Sale for EUR 1; about EUR 3.3bn of capital instruments written down
What the sources record
The resolution decision took effect on 7 June 2017 following an accelerated deposit outflow.
Court proceedings in Madrid examined the accuracy of the information given to investors in the 2016 rights issue.
Individuals involved in those proceedings are entitled to the presumption of innocence.
Timeline
2017-06-07
SRB resolution decision; sale to Banco Santander for one euro.
2022-11-30
Spanish court proceedings on the 2016 capital increase continue.
Primary sources
- Single Resolution Board — Banco Popular resolution, 7 June 2017
- Reuters — Santander buys Banco Popular for one euro
Questions and answers on this entry
- What does register entry ES-2017-01 record?
- Banco Popular resolved overnight and sold for one euro; Spanish court proceedings follow. The Single Resolution Board determined the bank was failing or likely to fail and it was sold to Banco Santander for one euro, wiping out shareholders and junior bondholders. Spain's Audiencia Nacional examined the bank's 2016 capital increase and its reporting.
- Which authority is recorded against Banco Popular Español S.A. (resolved)?
- The entry is recorded against Single Resolution Board / Audiencia Nacional, in the Spain jurisdiction, under the theme Bank resolution · disclosure to investors.
- What is the current status of this entry?
- Status: Resolution completed; proceedings continued. Last recorded change: 30 November 2022. The matter arose or was first recorded on 7 June 2017.
- How was this matter brought to light?
- Resolution authority decision, then criminal complaint. Each statement in the entry reflects material already published by a named source; nothing beyond those sources is asserted or inferred.
- Where can the primary sources for ES-2017-01 be checked?
- The entry links to Single Resolution Board — Banco Popular resolution, 7 June 2017; Reuters — Santander buys Banco Popular for one euro.
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