The Monaco branch of Banque Havilland has entered into acquisition negotiations with an unnamed private bank in the Principality, amid reports the European Central Bank is set to revoke the operating licence of its Luxembourg-based parent company.
Banque Havilland Monaco announced in a press release that it had entered into negotiations on 25th July for the acquisition of its shares.
“The purpose of this negotiation is to secure a long-term and sustainable solution to ensure the continuity and excellence of its banking services,” said the company.
On Friday, the Financial Times revealed that the European Central Bank (ECB) is set to revoke the operating licence of Banque Havilland, a Luxembourg-based bank owned by David Rowland, financial adviser to Prince Andrew. The bank, which has been involved in multiple regulatory probes and compliance failures, has reportedly been informed of this draft decision.
Once finalised and approved by the ECB’s board, Luxembourg’s Commission de Surveillance du Secteur Financier will officially revoke the licence, ceasing the bank’s operations in Europe.
Banque Havilland has faced numerous controversies, including compliance issues, leading to fines from the UK’s Financial Conduct Authority. The bank’s branches outside the ECB’s jurisdiction, such as in Monaco, Dubai and Switzerland, may continue operating, though they face restrictions and scrutiny from local regulators.
Banque Havilland Monaco has not named the private company with whom it is negotiating, but said that “the transaction, with an independent private bank with one of the highest solvency ratios in the industry with excellent track record in Monaco, would be perfectly in line with the bank’s development strategy.”
A signing is expected by the end of 2024, while the transaction is subject to approval by relevant regulatory authorities.
According to its 2023 financial statements, Banque Havilland has assets of just over €1.35bn and a €463mn loan book.
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