Banco Popular Español is reportedly planning to purchase 40% stake in its Spanish joint venture (JV) Popular Banca Privada from Franco-Belgian financial group Dexia, in a bid to boost its banking footprint.
Sources familiar with the matter were quoted by media sources as saying that the transaction might be valued at approximately €49.2m ($67m).
Español already holds 60% stake in Privada and has had an option to acquire the remaining shares since December 2012.
It is expected that the proposed transaction would conclude during the first quarter of the year, pending receipt of concerned regulatory approvals.
In January 2013, European Union regulators granted $7.3bn bailout package to Dexia. Further, France, Belgium and Luxembourg have agreed to offer €85bn refinancing guarantee, according to the bailout plan.
The financial aid was intended to enable the lender to restructure its operations, which includes selling of its subsidiary DMA (Dexia Municipal Agency) and the restructuring of Belfius bank, the European Commission had said.