New losses at Novo Banco prompt further Portuguese state aid
Novo Banco is requesting €1.037bn from the national resolution fund in Portugal in an effort to cover losses incurred on some of its assets. The majority of the financing is likely to come from the Portuguese state.
Novo Banco was created out of the "good" parts of former Portuguese lender Banco Espírito Santo (BES), which collapsed in 2014.
But since its formation, the bank has struggled to turn itself into a profitable and stable financing institution.Having failed to meet requirements set out in a sale agreement ...