The Dutch state announced a new trading plan to reduce its stake in ABN Amro from 20.7% to 10.5%. NL Financial Investments, which holds the bank on behalf of the state, appointed BofA Securities Europe to sell depositary receipts in the market. The manager will operate within pre-set parameters and has discretion to conduct a measured sell-down. The plan is expected to become operational in the coming days.
The transaction is the fifth market trading plan used to reduce the state’s ABN Amro holding, Reuters reported. The Netherlands nationalised the bank during the financial crisis and returned it to the stock market in November 2015. The government has since said it intends to reduce its interest gradually. NLFI’s prior trading plan ended in July 2026.
AN ORDERLY MARKET SALE
BofA Securities may sell enough depositary receipts to bring NLFI’s stake down to 10.5%, subject to a minimum price that NLFI will keep under review. The state holding company can amend the parameters, pause or terminate the programme. It may also renew the plan after the maximum number of receipts has been sold.
The trading plan does not prevent NLFI from pursuing other ways to monetise the stake. Its announcement identified accelerated bookbuilds and directed buybacks as possible alternatives during the programme. Rothschild & Co is advising NLFI, while A&O Shearman is acting as legal counsel.
GOVERNANCE RIGHTS STEP DOWN
NLFI and ABN Amro also amended their relationship agreement to reflect the planned reduction. NLFI’s information rights will remain in place while its holding is at least 10%, rather than being reconsidered below 15% under the previous arrangement. The agreement will terminate once the state’s stake falls below 10%.
The sell-down moves the bank closer to full private ownership but does not set a completion date for the state’s exit. The immediate milestones are the plan becoming operational and regular progress reviews by NLFI. A move below 10% would trigger the separate termination of the relationship agreement and its information rights.