The transaction generates a consolidated net capital gain of around EUR 440 million for UniCredit in 2016, with an expected positive impact on the fully loaded CET1 ratio of about 12 bps.
At the same time, the Group has agreed to enter into a 10-year outsourcing contract with SIA for the provision of card processing services. The deal allows UniCredit to exit a non-core activity while retaining access to a high-quality service and the economies of scale which SIA may achieve.
The sale of the card processing activities is part of the strategic approach first announced on 11th July 2016 and further in line with the key objectives of the Transform 2019 plan presented at the Investor day on 13th December; of which one is to focus on strengthening and optimizing capital for the bank.
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