BBVA Considers Options for LatAm Pensions

Spain’s BBVA is considering selling all or part of its pension units in Chile, Colombia, Peru and Mexico, it says. Despite the attractiveness of the pension businesses, they don’t have sufficient overlap with the bank’s core consumer banking operations in those countries. The decision follows a trend of European, and particularly Spanish, banks selling down LatAm assets to revamp their capital structures ahead of tighter regulatory requirements. However, BBVA has not been engaging in selldowns to the extent that other banks, such as Spanish rival Santander, have in the past year. The process should last several quarters, and a sale is unlikely to come any time this year, the bank says.