Grupo Elektra reported this Thursday that it sold all of its Banco Azteca del Peru shares to a group of Peruvian investors from the financial sector.
In summary, Grupo Elektra is the financial services and specialized trading company, and the largest provider of short-term non-bank loans in the United States through its subsidiary Purpose Financial, Inc., aimed at the middle class in that country.
Now among the main shareholders of Banco Azteca del Peru are: René Emilio Jaime Farach, Gonzalo Antonio De La Puente Wiese, Maria Caridad De La Puente Wiese, Sergio Valencoso Burillo, José Luis Hidalgo Cáceres, Juan Antonio Jenssen Mazzino, Javier Jaime Zavala Florez Estrada and Acceso Corp SA.
As of December 31, 2019, Grupo Elektra operated 7,250 points of contact through its Elektra, Salinas y Rocha, Banco Azteca and Purpose Financial branches in the United States; of these, 5,424 are in five Latin American countries: Mexico, Guatemala, Honduras, Peru and Panama and 1,826 branches of Purpose Financial in the United States.
Meanwhile, Banco Azteca, the most important subsidiary of Grupo Elektra, is the largest bank in Mexico in terms of coverage by number of points of contact with the customer.
As of December 31, 2019, it had 2,216 points of contact, accumulating 151,184 million pesos in traditional deposits, and a gross loan portfolio of 93,253 million pesos.
«The sale and purchase operation was carried out in strict adherence to current regulations and was formalized by the parties involved, who were in contact with the Superintendency of Banking, Insurance and Private Pension Fund Administrators (SBS) of Peru» said the company in a statement issued on the Mexican Stock Exchange.
The parties will implement an orderly transition process to ensure continuity of operations and security for their users.
Banco Azteca del Peru‘s operations represent a non-material proportion in relation to all of Grupo Elektra’s financial business activities.
As a result of this operation, the company will concentrate its efforts in Mexico, the United States and Central America.
Banco Azteca Competition
The number of financial, banking and non-banking intermediaries that target the popular sector is very numerous.
Banco Azteca faces intense competition from most of these intermediaries.
In the banking sector, the main ones are Bancoppel, Banco Ahorro Famsa, Banco Autofin, Banco Compartamos, Consubanco and BBVA Bancomer.
On the non-banking side, the most prominent competitors are Multiple Purpose Financial Societies (Sofomes), specialized in consumer credit and microcredit, and merchants who sell their items in installments, along with other financial services (banking correspondence, remittance payments, etc.).
“Grupo Elektra S.A.B. de C.V. and Elektra del Perú SA, shareholders of Banco Azteca del Perú SA, signed today a share purchase agreement, by virtue of which they agreed to transfer 100% of the shares of Banco Azteca del Perú SA, subject to the terms and conditions established in the aforementioned contract, in favor of various investors, ”Grupo Elektra said in another statement sent to the Superintendency of the Securities Market (SMV) of Peru.
“In accordance with the provisions applicable to over-the-counter transfers of shares listed on the Lima Stock Exchange, the transfer of shares will be made and settled on December 1, 2020 over the counter.
«The transfer of the shares will include and include all the rights inherent therein, including, but not limited to, the political, economic and information rights inherent to the quality of shareholder holder of common shares with voting rights, free of liens, the right to receive dividends, in kind or in cash, approved or approved in the future, among others”, Grupo Elektra added.