Israel Discount Bank has taken down the “For Sale” sign from Israel Discount Bank of New York and will instead try to sell Discount New York subsidiary, Uruguay-based Discount Bank Latin America, Globes reported on Tuesday.
Discount Bank Latin America operates mainly in retail banking and is reportedly valued at $75 million.
They may have a buyer lined up. Industry sources say that Spain’s Banco Bilbao Vizcaya Argentaria is one of the parties interested in Discount Bank Latin America. BBVA is a retail bank that has been expanding its international operations, especially in Latin America. The parties have held talks on the matter.
Discount Bank had no comment.
Israel Discount Bank of New York was on the market for more than a year, and the decision not to sell it did not take the market by surprise. A few weeks ago, Discount Bank’s controlling core, the Bronfman-Schron Group, announced that it was selling its stake. The group had supported the sale, and with its departure, the likelihood of a sale diminished.
Discount Bank reportedly sought to sell Discount New York at a price close to its shareholders’ equity of $850 million.