| Industry | Financial services and insurances/Banking |
|---|---|
| Predecessor | Novacaixagalicia |
| Founded | September 14, 2011 |
| Defunct | June 25, 2014 |
Area served | Spain |
Key people | José María Castellano (Executive president) César González-Bueno (Chief executive officer) |
| Brands | Novagalicia Banco EVO Banco |
Number of employees | 5,946 |
| Website | www |
NCG Banco, S.A. was a financial institution founded in Galicia on September 14, 2011, as a result of Novacaixagalicia banking activity spin-off.[1]
With €70.269 million in assets, 5.946 professionals, 2.7 million customers and a commercial structure made up by 919 branches spread all around the Spanish country and eleven countries of Europe and the Americas,[2] NCG Banco, S.A. was the head of one of the leading Spanish financial groups.
NCG Banco, S.A. operated as Novagalicia Banco in Galicia, Asturias and León and as EVO Banco in the rest of Spain.
The Singular Assets Management Unit closes the corporate structure, taking charge of distressed and non strategic assets, non-performing, substandard, repossessed assets and buildings for own use. And also, the wholesale business manages corporate banking, operations in financial markets and treasury management.[3]
Moreover, NCG Banco, S.A. took part as a shareholder in more than 220 businesses,[4] through its industrial section NCG Corporación.
History
NCG Banco, S.A. came from the banking entity Novacaixagalicia that came from the merger of the saving banks Caixa Galicia and Caixanova on December 1, 2010. The financial requirements, set out in the Royal Law decree 2/2011,[5] bring about the transformation of Novacaixagalicia into a bank as a way to enable its market capitalisation.[6]
NCG Banco, S.A. was born on September 14, 2011. In this new period, José María Castellano becomes the executive president of the entity and César González-Bueno Mayer[7] the chief executive officer. NCG Banco, S.A. appears as the first institution[8] in the financial history of Galicia that uses the Galician language for its foundational deed.[9]
On October 10, 2011, the Fund for Orderly Bank Restructuring[10] (FROB II) bought €2.465 million in NCG Banco, a 93% stake.[11] The new funds were added to the €1.714 million provided by Novacaixagalicia, resulting a €4.180M total equity, €5.275M core capital and 10.45% risks weight assets (RWA), with 15.67% solvency rate.[12]
On October 19, 2011, NCG Banco, S.A. launched its new commercial brand Novagalicia Banco under the advertising slogan “A new bank with lifetime clients”.[13]
As of November 14, it started to work with two different commercial brands and two specialized business models:[14] Novagalicia Banco, in Galicia and the international market, and NGB, in the rest of Spain. This strategic turn encloses the creation of two new business areas: one specialized in the corporate banking; and another as a Singular Assets Management Unit, specialized in distressed and non strategic assets.
On January 12, 2012, 17 Galician investors took a stake in the bank, buying 2.59% in equity. Thereafter, bank shareholders are the Fund for Orderly Bank Restructuring with a 90.57%, private investors with a 2,59% and Novacaixagalicia with a 6,84%.[15]
On March 12, NCG Banco, S.A. started to operate outside Galicia under the commercial brand EVO Banco.[16] During the first running-in four weeks it gained 8.920 customers and €70 million.
On March 22, NCG Banco, S.A. and its union representatives came to an agreement to avoid forced layoff. .[17]
July 12, 2012, NCG Banco, S.A. released an advertising campaign in media in which it apologizes to clients for past mistakes.[18]
Banking brands
Head office
NCG Banco S.A. had two operating head offices. The social and tax address was located in A Coruña and the institutional and business address was in Vigo.
Staff
The company staff was made up of 5,946 professionals.
Branches
NCG Banco, S.A. had a retail network of 919 operative offices[19] spread in the following manner:
- Spain: 900
- Novagalicia network: 680
- EVO/NGB network: 220
- Global environment (Europe and Americas): 10
- Global environment delegations (Europe and Americas): 9
It also had 1,494 ATMs and 36,913 point-of-sale terminals.
Financial report
| net interest income | 430,1 |
| net fee income | 120,1 |
| basic margin | 550,3 |
| dividends | 14,3 |
| results from financial operations | 101,1 |
| income from equity consolidated by participation method | (41,0) |
| others | (11,6) |
| gross margin | 613,1 |
| operating expenses | (443,9) |
| impairments provisions | (1.638,4) |
| others | (12,6) |
| attributable gain (losses) to the group | (1.339,6) |
| total assets | 70.269 |
| securities portfolio | 14.241 |
| O/W equities | 1.778 |
| customer loans | 45.169 |
| customer deposits | 43.984 |
| debt securities | 7.008 |
Capital stock ownership
| shareholders | stake |
|---|---|
| The Fund for Orderly Bank Restructuring (FROB) | 90.57% |
| Novacaixagalicia | 6,84% |
| Private investors | 2.59% |
Customers
NCG Banco, S.A. has 2.7 million customers: 338,000 are companies and self-employed workers (data last updated: December 2011) and 2.367.051 are families. In 2011, 171,271 people became active customers. Detail of the customers base:
- Outstanding companies: 3.802
- Public service: 2.597
- Small and medium-sized enterprises: 32.098
- Micro, small and medium-sized enterprises and associations: 115.698
- Self-employed: 183.450
- Families: 2.367.051
Government bodies
Board of directors
| director | position |
|---|---|
| José María Castellano | executive president |
| César González-Bueno | chief executive officer |
| Roberto Tojeiro | independent |
| Carlos González | independent |
| José Manuel Gabeiras | independent |
| Jaime Trebolle | independent |
| Xabier Alkorta | independent |
| Pilar Cibrán | nominee (Novacaixagalicia) |
| Gonzalo Ortiz | nominee (Novacaixagalicia) |
| FROB | nominee |
| Francisco Serna | secretary (non-director) |
| José Eduardo Álvarez-Naveiro | vicesecretary (non-director) |
FROB: 1 director with 2 dealers: José Borrue and José Antonio Portugal
| executive committee | José María Castellano |
| board risk committee | Xabier Alkorta |
| appointments and remunerations committee | Jaime Trebolle |
| audit and compliance committee | Carlos González |
Investment portfolio
| sector | company | stake |
|---|---|---|
| Financial | Banco Gallego | 49,84% |
| Banco Etcheverría | 44,73% | |
| Ahorro Corporación | 6,38% | |
| Automotive | Grupo Copo | 21,1% |
| Insurances | Caser | 10,31% |
| Energy | CLH | 5% |
| Eólica Galenova | 100% | |
| Food | Sogevinus | 100% |
| Infrastructures | Itinere | 23,76% |
| Elecnor | 5,05% | |
| Textile | Adolfo Domínguez | 5,05% |
| Grupo Tavex | 5% | |
| Tourism | NH Hoteles | 2,71% |
| Technology | Tecnocom | 20,05% |
| Real Estate | Quabit | 3,19% |
| Industrial | General de Alquiler de Maquinaria | 4,95% |
| Transports | Transmonbús | 33,96% |
| Maritime | Naviera Elcano | 12% |
See also
- Novagalicia Banco
- EVO Banco
- Fund for the Orderly Bank Restructuring
References
- ↑ "Castellano sets an initial goal of a €700M investment for NCG". La Voz de Galicia. 2011-09-15.
- ↑ "NCG Banco rushes its adaptation to new regulation with €1.638M in impairment provisions". NCG Banco Press Office. 2012-08-31.
- ↑ "Corporate Government Report 2011" (pdf) (in Spanish). NCG Banco. 2011: 29.
{{cite journal}}: Cite journal requires|journal=(help) - ↑ "NCG Banco renews advisors in 130 investees". Expansión. 2012-02-27.
- ↑ "Royal Law Decree 2/2011, February 18th to strengthen the financial system" (PDF). BOE. 2011.
{{cite journal}}: Cite journal requires|journal=(help) - ↑ "The reform of Spanish savings Banks. Technical note" (PDF). International Monetary Fund. May 2012.
{{cite journal}}: Cite journal requires|journal=(help) - ↑ "Position in board of directors". NCG Banco.
- ↑ "NCG Banco Statutes". NCG Banco.
- ↑ "NCG Banco, the first bank that uses the Galician language for its foundational deed". NCG Banco Press Office.
- ↑ Miguel Fernández Ordóñez, ex-Governor of the Bank of Spain (2012-04-18). "Financial crises – impact and challenges for Spain. Opening speech at the "XIX Encuentro del sector financiero", organised by Deloitte-ABC" (PDF).
{{cite journal}}: Cite journal requires|journal=(help) - ↑ "Governing Committee of the FROB approves three recapitalization processes". FROB.
- ↑ "Novacaixagalicia achieves €4.150M in equity after FROB partial hold". NCG Banco Press Office.
- ↑ "From NCG to Novagalicia Banco". La Voz de Galicia.
- ↑ "Novagalicia's makeover: two new commercial brands while isolates impaired assets". La Voz de Galicia.
- ↑ "17 galician investors get a stake in the bank". La Opinión de A Coruña. 13 January 2012.
- ↑ "Novagalicia already operates outside Galicia with EVO Bank brand". Cinco Días. March 2012.
- ↑ "NCG closes its first agreement with unions". ABC.
- ↑ "Spain's bailout forces mountain of losses on bank clients". Financial Post.
- ↑ "NCG Banco acelera su adaptación a la nueva normativa, con saneamientos por 1.638 millones". NCG Banco Press Office.