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Mexico’s Finance Ministry Authorizes Multiva’s Merger With CIBanco’s Trust Business

The sign-off requires formal filings before the transaction takes legal effect.

Overview

  • The authorization was published in the Diario Oficial, naming Banco Multiva as the surviving bank merging with the new entity created from CIBanco’s August spin-off.
  • Multiva must deliver notarial testimonies of unanimous shareholder approvals and file with the Public Registry of Commerce within 10 business days, with the merger effective upon registration.
  • Banxico, the CNBV and the Finance Ministry’s financial analysis unit issued favorable technical opinions, and authorities found no legal or operational impediments.
  • The resolution contemplates a new company, CIBanco, S.A., Institución de Banca Múltiple, to begin operations holding assets of the defunct bank, with operational details pending a Multiva statement.
  • CIBanco suspended operations in October after IPAB initiated liquidation following U.S. Treasury money-laundering allegations, and Multiva had already assumed fiduciary mandates and secured approval to add 50 million pesos in capital.