Banc Sabadell buys Florida’s Lydian Private Bank

Sabadell (ACN).- The Catalan bank, Banc Sabadell, increases its presence in the United States by buying a financial entity based in Florida. The US branch of the Catalan firm, the Sabadell United Bank N.A, confirmed the acquisition of Lydian Private Bank last Friday. Lydian Private Bank has been the subject of government intervention. Banc Sabadell did not disclose the operation’s amount. However, the bank informed that as part of the purchase it will receive assets worth 1,607 million dollars, with a discount of 176 million. In addition, the Lydian Private Bank has client deposits totalling 1,224 million dollars. Finally, Banc Sabadell also takes in the advancement payments of the Federal Home Loan worth around 351 million dollars, and other loans of approximately 32 million.

The acquisition process has been fixed by the Federal Deposit Insurances Corporation (FDIC) and has been designed as a losses’ shared risk scheme. The largest part of the losses associated to certain assets will be assumed by the FDIC and the Sabadell United Bank. Last year, the director of Sabadell United Bank expressed his opinion that growth in Florida is crucial step to the future of the bank in the United States’ market.

Banc Sabadell is already present in Florida

Sabadell United Bank already had a significant presence in the United States’ market, particularly in Florida. The US headquarters of Sabadell United Bank are located in the heart of Miami’s financial district. Unveiled last year, the Sabadell Financial Centre, a 30-story building spanning some 50,000 square metres, is situated in the prestigious Brickell Avenue. Banc Sabadell is the 2^nd largest financial institution in Catalonia, after CaixaBank, the private bank of La Caixa.