AMSTERDAM (Reuters) - Royal Bank of Scotland (RBS.L) said on Tuesday it will establish a new global banking centre in Amsterdam if its joint bid for Dutch bank ABN AMRO AAH.AS is successful.
RBS, along with Belgian-Dutch financial group Fortis FOR.BR and Spain’s Santander (SAN.MC) is well placed to prevail in its 70 billion euro (49 billion pound) bid for ABN over a rival 59 billion euro offer from Barclays (BARC.L).
If successful, the three-bank consortium plans to carve up ABN, with RBS taking over wholesale banking, while Santander would get ABN’s Italian and Latin America businesses and Fortis would take over ABN’s Dutch and private banking operations.
“The proposed transaction with ABN AMRO would give RBS the opportunity to grow our presence in the Netherlands which we intend to do significantly,” Johnny Cameron, chief executive of RBS’s corporate market division, said in a statement.
The proposed centre would be used for international cash management and clearing activities, and would also serve as RBS’s middle- and back-office for transactions done in euros.
The offer period for the two competing bids will both end by October 5 and ABN’s management has taken a neutral stance on the bids.