Millennium bcp unconcerned by potential Fosun stake cut as profitability draws investors

By Reuters News

- Portugal's Millennium bcp BCP.LS is not concerned about the possibility of Chinese conglomerate Fosun 0656.HK cutting the stake it holds in the bank, Chief Executive Miguel Maya said on Wednesday, arguing that its performance is attracting long-term institutional investors.

  • Fosun is the largest single shareholder in Millennium bcp, with a stake of about 20%, followed by Angola's state-owned oil company Sonangol with 19.9%

  • Reuters reported in March 2024 that Fosun was open to selling its remaining stake in Portugal's largest listed bank after disposing of a 5.6% holding earlier that year

  • Maya told a press conference that "we are not concerned about any potential shareholder exit" and that "there are more long-term investors, including institutional investors, looking to invest in the bank because of its profitability"

  • He said he had faced questions for years about possible changes to the bank's shareholder structure, but that all major shareholders on the board of directors, including Fosun, told him they were satisfied with the bank's performance

  • The bank said on Wednesday its nine-month net profit rose 12.6% to €873.7 million ($971.55 million), beating expectations as resilient lending margins weathered ECB rate cuts, while mortgage charges at its Polish unit fell sharply.

($1 = 0.8993 euros)

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