Mexico authorizes Intercam's restructuring

MEXICO CITY, Dec 24 (Reuters) - Mexico's finance ministry has authorized a restructuring of Intercam Grupo Financiero that will spin off its banking unit and incorporate a different lender, according to an official resolution published in the national gazette on Wednesday.

DEAL DETAILS

• The ministry approved Intercam's plan to split without dissolving the holding company, creating a new entity to control Intercam Banco.

• The new entity will be renamed Kapital Grupo Financiero.

• Banco Autofin Mexico will be incorporated as a financial entity within Intercam Grupo Financiero.

• Intercam Banco will separate from Intercam Grupo Financiero as part of the spin-off.

• The restructuring is subject to shareholder approval and registration with Mexico's Public Registry of Commerce.

KEY CONTEXT

• Mexico's Kapital Bank acquired Intercam's brokerage, asset management and operating banking assets in August.

• Kapital reached unicorn status in June with over $1 billion valuation following a funding round.

• Intercam was sanctioned by the U.S. in June for alleged money laundering, though Mexican authorities said the U.S. lacked supporting evidence.