Blackstone to continue preparations to acquire NIBC

Katharine Hidalgo
25 March 2020

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Blackstone has announced it plans to continue preparations to acquire Amsterdam-based bank NIBC.

The firm, through its acquisition vehicle Flora Acquisition, has announced it expects to submit a request for review and approval of the offer to the Netherlands Authority for the Financial Markets by no later than 19 May 2020, which is the statutory deadline for the submission.

Blackstone's offer comprises 995 euro cents per share, including the final dividend of 33 cents.

At the time of the offer on 25 February 2020, NIBC shares were trading at 961 cents. The share price hit an all-time low of 577 cents on 20 Mar 2020 amid the coronavirus crisis. At the time of publication, shares were trading at 705 cents.

JC Flowers and Reggeborgh currently hold a 75.3% stake in the company, comprising 60.6% and 14.6% respectively.

JC Flowers had been offered the right to reinvest offer proceeds indirectly in Flora Acquisition at a price of 926 cents per share, but the firm announced it will not reinvest in the company.

The firm originally invested in NIBC in December 2005 in a deal valued at €1.8bn. The GP had planned to list the company in 2007, prior to the financial crisis. It invested €400m in the business during the crisis to support its losses. The company was then listed in March 2019 at 875 cents per share, giving it a market capitalisation of €1.3bn.

NIBC is based in Amsterdam and has a customer base of 600 small businesses and 400,000 retail clients. It employs 711 staff and reported net profit of €83m in H1 2019, according to its latest financial report.