Novo Banco Gets One Revised Offer, Bank of Portugal Says

One of the three potential buyers of Novo Banco SA altered its offer for the lender that emerged from Banco Espirito Santo SA’s breakup, the Bank of Portugal said.

“One revised proposal was received at the Aug. 7 deadline,” the central bank said in a statement on its website. All three binding offers for Novo Banco that were received on June 30 remain “fully valid,” the Bank of Portugal said, without identifying the bidders.

Once Portugal’s biggest bank by market value, Banco Espirito Santo was bailed out in August last year after regulators ordered it to raise more capital following the disclosure of potential losses on loans to companies in the family-controlled Espirito Santo Group. The central bank moved the lender’s deposits and most of its assets to Novo Banco.

The Bank of Portugal’s Resolution Fund owns Novo Banco after the 4.9 billion-euro ($5.4 billion) bailout, and the rescue will be repaid by proceeds from the sale. The Resolution Fund got a 3.9 billion-euro loan from the government to finance its investment in Novo Banco.

New York-based Apollo Global Management LLC, China’s Fosun Group and Anbang Insurance Group Co. submitted binding offers for Novo Banco, a person familiar with the process said last week. Officials for Anbang weren’t immediately available to comment on the Bank of Portugal’s statement Friday. Apollo and Fosun declined to comment.

“The Bank of Portugal will evaluate in coming weeks the binding offers presented by the three potential buyers,” it said. “As a result of that evaluation, the Bank of Portugal will decide on the best strategy to follow.”

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