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SNS Reaal

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Traded as  Euronext: SR
Revenue  €7.068 billion (2010)
Founded  1997
Industry  Financial services
Headquarters  Utrecht, Netherlands
Number of employees  7,110
SNS Reaal httpsuploadwikimediaorgwikipediaenthumb9

Type  Naamloze vennootschap under public ownership
Key people  Gerard van Olphen (CEO), Rob Zwartendijk (Chairman of the supervisory board)
Products  Retail banking, insurance
CEO  Gerard van Olphen (4 Feb 2013–)
Total assets  127.7 billion EUR (end 2010)
Total equity  4.833 billion EUR (end 2010)
Subsidiaries  De Volksbank, ASN Bank, REAAL N.V.

Sns reaal rescued by dutch government

SNS REAAL is a Dutch financial institution in insurance and banking which focuses on the private market and small to medium businesses and is since its nationalisation on 1 February 2013 a government-owned corporation.


The services to private and corporate clients are mainly from SNS Bank and insurance brand REAAL. SNS Bank serves its customers through its own stores, independent intermediaries, internet and telephone. REAAL sells its products and services exclusively through independent brokers.

As of 2011 the company had assets amounted to €132 billion, with about 7,000 full-time equivalent employees.


SNS was listed on the Euronext Amsterdam from 18 May 2006 until 31 January 2013. The "Foundation SNS REAAL" sold part of its stake in the company, its share decreased from 100% to 65.5%. The sale resulted in proceeds of approximately €950 million. At the flotation, SNS REAAL also gave out about 25 million new shares, this yielded €415 million. The shares were placed at a price of €17 each. End of 2006, the market capitalization of SNS amounted to €3.9 billion. The importance of the foundation in SNS has now fallen to just over 50%.


The bank used the money raised as part of the IPO for acquisitions and in particular wanted to buy an insurance company. 2006 and 2007 saw three major acquisitions.


In the summer of 2006, Bouwfonds Property Finance (BPF) was acquired, which was part of Bouwfonds Nederlandse Gemeenten NV, a former semi-public company that is mainly focused on owner-occupied homes and mortgages. The fund was fully privatized in 2005, because the latter municipalities sold their shares to the new owner ABN AMRO. In 2005, BPF had a net profit of €87 million. After the acquisition, the part resumed its activities under the name SNS Property Finance.

Seller ABN AMRO received €810 million for this activity. SNS REAAL strengthened in this way its position in the small to medium business market, and reduced its dependence on the mortgage market. At end of 2006, the loan portfolio of SNS Property Finance's was valued at €8.8 billion, of which 77% was in the Netherlands. Eventually, this acquisition ended up disastrous for SNS REAAL. The depreciation on real estate purchase eventually led to the forced nationalization of SNS REAAL on 1 February 2013.


In early June 2007 it was announced that SNS Reaal took over the Dutch activities of the French insurance group AXA for an amount of €1.75 billion. This was partly financed by the issuance of new shares. After this acquisition, SNS was the fifth player in the Dutch insurance market. Only Eureko, ING, Fortis and Aviva have a larger share. The acquisition increases the market share, on the basis of the premium, to over 9%.


In November 2007 SNS REAAL and Swiss Life announced that the Dutch and Belgian activities of Zwitserleven is taken over by SNS REAAL. SNS became the second pension and life insurance company in the Netherlands. Winterthur, AXA and the pension and life insurance products of SNS then continued under the name Zwitserleven. SNS paid over €1.5 billion, which was almost 17 times the annual profit for the acquisition.

Capital injections

As a direct result of the credit crunch SNS received €750 million from the government in November 2008. The government received in exchange for this special effects based on a price of €5.25 per piece, under the Dutch standard terms.


On 1 February 2013 the Dutch Minister of Finance, Jeroen Dijsselbloem, announced the decision to expropriate securities and assets of SNS REAAL and SNS Bank NV in connection with the stability of the financial system, thus bringing the bank under State control. The initial cost of the nationalisation was put at 3.7 billion euros. Unlike in many previous European bank bailouts, junior bondholders were not bailed out and lost their investment completely, although senior bondholders were still protected.

Insurance Division Sale to Anbang

It was announced in February 2015 that the firm would sell its Vivat insurance arm to Chinese financial group Anbang in a deal worth €1.4 billion.


SNS also operates under various other brands in specific markets:

  • ASN Bank: Dutch first so-called Sustainable bank
  • BLG Wonen: provider of mortgages and savings accounts
  • Proteq: insurer with direct distribution channel
  • RouteMobiel: roadside assistance service
  • SNS Asset Management: asset for institutional investors
  • Property Finance: financier property and holding company
  • RegioBank: intermediate bank
  • SNS Securities: Securities
  • Zwitserleven: pension insurance
  • The Life Insurance Companys of the group are:

  • SRLEV NV, also the trade Europe Life, Extra Medium, Happy Service Insurance, Insurance Hooge Huys, Hooge Huys Virtual Workshop, REAAL, REAAL Virtual Workshop
  • Proteq levensverzekeringen NV
  • References

    SNS Reaal Wikipedia