Thursday, 9 October 2008

Kaupthing Finland

"Kaupthing Banki hf's Finnish operations are continuing as usual, a spokeswoman said, after Iceland's financial watchdog said on Thursday it was taking control of the banking group."

'Our operations in Finland are continuing as usual,' said a spokeswoman for Kaupthing in Finland. Iceland's financial watchdog said on Thursday it was taking control of the country's biggest bank Kaupthing, the third such takeover in a week, in order to safeguard the domestic banking system. "We believe that the clients in Finland will not face any losses due to this," the spokeswoman said.

Trading by Kaupthing was suspended on Helsinki bourse on Thursday before markets opened

About 10,500 Finnish customers have a total of about 88 million euros in Kaupþing accounts.

And another Icelandic bank nationalization... see Glitnir.

Update 1:
"Mari Kiviniemi, the minister responsible for financial authority in Finland, said it's still uncertain whether or not all Finnish customers will be able to get all of their money out of the Icelandic bank. She said that FIN-FSA is currently working on the matter.

FIN-FSA has also shutdown Kaupthing's online banking. Furthermore customers cannot currently withdraw their money from the bank. The agency has also dispatched one of its representatives to the Finnish branch of the bank."

Update 2:

Kaupthing Bank Oyj has informed Larox Corporation that they have asked Helsinki Stock Exchange to interrupt the trading of Kaupthing Bank shares and due to that Kaupthing Bank has stopped their market making services for the time being.

Larox Corporation and Kaupthing Bank Oyj have a valid market making
agreement, which fulfils the requirements of Helsinki Stock Exchange's LP operation. The market making agreement aims at facilitating e.g. private investors´ trading, increasing the share's liquidity and decreasing the share price volatility

Update 3:
"Norvestia har totalt 1,6 miljoner euro i bankdepositioner hos Kaupthing Bank. Utöver depositionerna har Norvestia inga övriga fordringar från Kaupthing Bank koncernen."

Translation Welcomed ;->, although readable. I understand that in 2003, Kaupthing Bunadarbanki hf acquired majority stake in Norvestia Oyj from Nordic Business ( Kaupthing Bunadarbanki buys 54.44% of votes and 30.35% of shares in Norvestia).

1 comment:

andrew said...

Seems like:

Norvestia has a total of 1.6 million euro in bank deposits at Kaupthing Bank. Beyond deposits Norvestia has no other claim from Kaupthing Bank.