Swedish bank SEB to sell German unit

14th May 2010, Comments 0 comments

Swedish bank SEB said Friday it was in talks to sell its German operations, with Santander of Spain and Unicredit of Italy reported to have submitted offers.

SEB said "profitability in the German retail banking business is unsatisfactory and (SEB) is therefore reviewing different alternatives to resolve this situation.

"In this process, SEB has received third party interest for acquiring the business and the bank is now pursuing a dialogue with several parties regarding a possible divestment."

Santander and Unicredit have already submitted bids, Dow Jones Newswires reported, saying a deal could be signed at the end of July.

SEB's sale of its German operations, which had been planned for 2008, was suspended because of the global financial crisis.

Germany accounted for about 14 percent of SEB's operating revenues in the first quarter. SEB entered the German market in 2000.

The Swedish bank employs 21,000 people worldwide.

© 2010 AFP

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