BBVA’s commitment to Atom: the new bank reduces losses to 7 million

BBVA’s commitment to the Atom continues to grow. The bank headed by Carlos Torres has a 42.77% stake in the new British bank, which entered its capital in 2015. The growth of Atom has reduced the losses it represents on BBVA accounts, which has allowed them to be reduced in recent years. as stated in the entity’s financial report.

The business consolidation of the new bank, which is moving ahead with its plans for a possible initial public offering in the US, is also reflected in BBVA’s accounts. Getting into Atom was one of the first moves the entity made in its commitment to emerging digital venturesand perhaps one of its most specific bets on the digital ecosystem by participating in its capital increases to maintain or even increase its participation in the new bank.

In 2021, Atom accounted for losses on BBVA accounts of 29 million, so the numbers for this year reflect a 75% decrease in losses. If you look at the 2020 accounts, the jump is even bigger, as BBVA’s financial report includes losses of $75 million that year due to participation in Atom. It should be borne in mind that in the accounting of the new bank, its fiscal year does not coincide with the calendar year, but rather begins in March.

The improvement of the Atom business, which originated in 2014, was also reflected in the book evaluation compiled by BBVA. If in 2020, that was €54m; In 2021 it increased to 77 million and already in 2022 the entity includes a book valuation of 132 million euros.

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The growth in valuation has been parallel to the recent rangeParts of the capital of Atom. In November 2022, BBVA, Toscafund and Infinity Investment Parnets invested around £30m (about €35m) in the new bank. This expansion is added to the expansion already done in February by Atom.

In fiscal year 2022, BBVA noted in its financial report that “the most significant movements in the investment in joint ventures and associates chapter correspond to capital increases in Atom Holdco Limited. In 2022, Atom Holdco Limited, a holding company holding 100% of the share capital of Atom Bank PLC, and where BBVA becomes a shareholder under the same conditions, is created and terms compared to previous participation in Atom Bank PLC.

Atom will be in talks for a possible initial public offering in the US, according to what was reported in the US media. In the middle of the year, the entity began to enter into talks with multi-millionaire Wilbur Ross to be able to implement the exit to the parquet through one of his spaces.a formula used to manage an IPO but without any activity.

Atom growth

Atom has grown its business in recent years, going from being a small fintech company to a growing company, according to the latest financial report from the new bank.

In this Accounts ranging from March 2021 to March 2022 reflect losses of $9.1 millionOne pound, which is a huge improvement over the previous year when he lost 62.3 pounds.

We have loaned over £3 billion to homeowners and over £1 billion to SMEs. We manage over £3.2 billion in personal savings. Our increasing maturity is evidenced by our continued investment in credit and loss forecasting models.”The new bank president in her latest annual report.

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Aileen Morales

"Beer nerd. Food fanatic. Alcohol scholar. Tv practitioner. Writer. Troublemaker. Falls down a lot."

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