Banco Comercial Português
Encyclopedia
Banco Comercial Português (BCP) (Portuguese Commercial Bank), is a Portuguese
bank
that was founded in 1985 and is the largest private bank
in the country. BCP is a member of the Euronext 100
stock index and its current chief executive officer
is Carlos Santos Ferreira. BCP is based in Porto
, but its operations are headquartered in Oeiras, Greater Lisbon. It operates a branch brand dubbed and restyled in 2004 as Millennium BCP.
It has nearly 4.3 million customers throughout the world and over 900 branches in Portugal. In 2008, it reported a profit of €201 million. It was ranked at number 453 in the 2007 Forbes Global 2000
list.
.
Since 2004, it operates a branch brand dubbed and restyled as Millennium BCP, following a process of amalgamating all the brand names and complete incorporation of all commercial structures of the group's retail banking:
("Portuguese Investment Bank") offered a merger with BCP. The board of BCP initially refused as long as terms were not be revised. The merger talks failed and the two banks didn't reach an agreement.
(BMO) in the Summer of 2007. All branches in Canada
remained BCP Bank branches until October 2007, when they were all fully converted into BMO branches. These branches continue to operate as specialty branches to the Portuguese including Azorean
communities in Toronto
, Ontario
, except the Dundas Street West
and University Avenue
branch, which has turned towards the Chinese community
.
with 9.99%, Grupo Teixeira Duarte
with 7.03%, Joe Berardo with 4.86% and Banco Sabadell
with 4.43%.
Bank Millennium
is BCP's network of branches in Poland
. Bank Millennium was founded in 1989 when the Polish free market
and democratic political transformations started. The bank was the first financial institution quoted on the Warsaw Stock Exchange
(1992) and gained its present scale through mergers with other banks (in 1992 and 1997), as well as organic growth
supported by the new business model, which has been developed in co-operation with its owner - the Portuguese bank Millennium BCP, which holds 65.5% of its shares. Bank Millennium, together with its subsidiaries in Poland, provides specialized financial services such as leasing, brokerage, and mutual funds, which makes it one of the largest banking groups in Poland.
) and stock market authorities (CMVM - Comissão do Mercado de Valores Mobiliários). The preliminary findings of an investigation by the CMVM stock market authority alleged the existence of several off-shore companies which Millennium BCP could have used to buy its own shares when it increased its capital in 2000 and 2001. The investigations were launched as a result of a complaint by a leading shareholder, José "Joe" Berardo, who owns 6.8% of the bank. He provided crime investigators with documents which, he alleged, showed that several offences had been committed. The documents provided by Berardo are said to prove various cases of fraud committed by various members of past boards of directors at the bank. The Economic Corruption and Financial Crime Investigative Committee, Direcção-Central de Investigação da Corrupção e Criminalidade Económica e Financeira (DCICCEF), was also to call Berardo, former temporary CEO Filipe Pinhal, former Chairman Jardim Gonçalves, shareholder Goês Ferreira, and former ousted CEO Paulo Teixeira Pinto, amongst others, to give or answer to evidence.
Portugal
Portugal , officially the Portuguese Republic is a country situated in southwestern Europe on the Iberian Peninsula. Portugal is the westernmost country of Europe, and is bordered by the Atlantic Ocean to the West and South and by Spain to the North and East. The Atlantic archipelagos of the...
bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
that was founded in 1985 and is the largest private bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
in the country. BCP is a member of the Euronext 100
Euronext 100
The Euronext 100 Index is the blue chip index of the pan-European exchange, Euronext NV.It comprises the largest and most liquid stocks traded on Euronext. Each stock must trade more than 20 percent of its issued shares over the course of the rolling one year analysis period. The index is reviewed...
stock index and its current chief executive officer
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...
is Carlos Santos Ferreira. BCP is based in Porto
Porto
Porto , also known as Oporto in English, is the second largest city in Portugal and one of the major urban areas in the Iberian Peninsula. Its administrative limits include a population of 237,559 inhabitants distributed within 15 civil parishes...
, but its operations are headquartered in Oeiras, Greater Lisbon. It operates a branch brand dubbed and restyled in 2004 as Millennium BCP.
It has nearly 4.3 million customers throughout the world and over 900 branches in Portugal. In 2008, it reported a profit of €201 million. It was ranked at number 453 in the 2007 Forbes Global 2000
Forbes Global 2000
The Forbes Global 2000 is an annual ranking of the top 2000 public companies in the world by Forbes magazine. The ranking is based on a mix of four metrics: sales, profit, assets and market value...
list.
History
BCP was founded in 1985 by Jardim Gonçalves and a group of investors from the Porto regionGrande Porto
Grande Porto or Greater Porto is a Portuguese NUTS3 subregion, integrating the NUTS2 region of Norte, in Portugal.It corresponds to 11 municipalities out of 16, the other 5 in Entre Douro e Vouga Subregion that constitute the larger Greater Metropolitan Area of Porto, centered in the city of Porto....
.
Since 2004, it operates a branch brand dubbed and restyled as Millennium BCP, following a process of amalgamating all the brand names and complete incorporation of all commercial structures of the group's retail banking:
- Nova Rede (the bank's brand for its own network of retail banking branches since 1989)
- Crédibanco (network of branches created by the BCP itself in 1993)
- Banco Português do Atlântico (acquired in 1995 and incorporated in 2000)
- Banco Mello (acquired in 2000 and incorporated in 2000)
- Banco Pinto e Sotto Mayor (acquired in 2000)
Aborted merger with BPI (2007)
On 25 October 2007, a smaller Portuguese bank, BPI - Banco Português de InvestimentoBanco Português de Investimento
Banco Português de Investimento is a major privately owned bank in Portugal. The bank's shares are listed in the Euronext Lisbon's PSI-20 stock index. It runs the banking business with companies, institutional and private clients. As Sociedade Portuguesa de Investimentos it was founded in 1981 by...
("Portuguese Investment Bank") offered a merger with BCP. The board of BCP initially refused as long as terms were not be revised. The merger talks failed and the two banks didn't reach an agreement.
Former operations in Canada
The Canadian division of BCP Bank was purchased and taken over by the Bank of MontrealBank of Montreal
The Bank of Montreal , , or BMO Financial Group, is the fourth largest bank in Canada by deposits. The Bank of Montreal was founded on June 23, 1817 by John Richardson and eight merchants in a rented house in Montreal, Quebec. On May 19, 1817 the Articles of Association were adopted, making it...
(BMO) in the Summer of 2007. All branches in Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
remained BCP Bank branches until October 2007, when they were all fully converted into BMO branches. These branches continue to operate as specialty branches to the Portuguese including Azorean
Azores
The Archipelago of the Azores is composed of nine volcanic islands situated in the middle of the North Atlantic Ocean, and is located about west from Lisbon and about east from the east coast of North America. The islands, and their economic exclusion zone, form the Autonomous Region of the...
communities in Toronto
Toronto
Toronto is the provincial capital of Ontario and the largest city in Canada. It is located in Southern Ontario on the northwestern shore of Lake Ontario. A relatively modern city, Toronto's history dates back to the late-18th century, when its land was first purchased by the British monarchy from...
, Ontario
Ontario
Ontario is a province of Canada, located in east-central Canada. It is Canada's most populous province and second largest in total area. It is home to the nation's most populous city, Toronto, and the nation's capital, Ottawa....
, except the Dundas Street West
Dundas Street
Dundas Street, also known as Highway 5 west of Toronto, is a major arterial road connecting the centre of that city with its western suburbs and southwestern Ontario beyond...
and University Avenue
University Avenue (Toronto)
University Avenue is a major north-south road in Downtown Toronto, Ontario, Canada. At its north end, University Avenue is the site of the Ontario Legislative Building. The eight-lane wide street is the location for several hospitals, numerous office buildings, Osgoode Hall and the Four Seasons...
branch, which has turned towards the Chinese community
Chinese Canadian
Chinese Canadians are Canadians of Chinese descent. They constitute the second-largest visible minority group in Canada, after South Asian Canadians...
.
Shareholder structure
As of 30 June 2009, BCP's main shareholders are Sonangol GroupSonangol Group
Group Sonangol is a parastatal that oversees petroleum and natural gas production in Angola. Sonangol actually had become a fundraising machine of government. The group consists of Sonangol EP and its many subsidiaries...
with 9.99%, Grupo Teixeira Duarte
Teixeira Duarte
Teixeira Duarte is one of the largest construction companies in Portugal, headquartered in Oeiras. The company was founded in 1921 by Ricardo Esquível Teixeira Duarte, an engineer. It is a major stakeholder in Cimpor and Banco Comercial Português. Today operates in countries and regions like...
with 7.03%, Joe Berardo with 4.86% and Banco Sabadell
Banco Sabadell
Banco Sabadell, S.A. is a major bank headquartered in Sabadell. Together with Banco de Asturias, Banco Urquijo, Sabadell Banca Privada, Banco Herrero, Solbank and ActivoBank, it is part of the Banco Sabadell Group, which is the fifth largest commercial banking group in Spain after Banco Santander,...
with 4.43%.
Operations in Poland
Bank Millennium
Bank Millennium S.A. – Poland based commercial bank with headquarters in Warsaw. The strategical investor of the bank is Banco Comercial Português ....
is BCP's network of branches in Poland
Poland
Poland , officially the Republic of Poland , is a country in Central Europe bordered by Germany to the west; the Czech Republic and Slovakia to the south; Ukraine, Belarus and Lithuania to the east; and the Baltic Sea and Kaliningrad Oblast, a Russian exclave, to the north...
. Bank Millennium was founded in 1989 when the Polish free market
Free market
A free market is a competitive market where prices are determined by supply and demand. However, the term is also commonly used for markets in which economic intervention and regulation by the state is limited to tax collection, and enforcement of private ownership and contracts...
and democratic political transformations started. The bank was the first financial institution quoted on the Warsaw Stock Exchange
Warsaw Stock Exchange
The Warsaw Stock Exchange , , is a stock exchange located in Warsaw, Poland. It has a capitalization of € 220 bln .The WSE is a member of the World Federation of Exchanges and the Federation of European Securities Exchanges.-History:...
(1992) and gained its present scale through mergers with other banks (in 1992 and 1997), as well as organic growth
Organic growth
In finance, organic growth is the process of businesses expansion due to increasing overall customer base, increased output per customer or representative, new sales, or any combination of the above, as opposed to mergers and acquisitions that are examples of inorganic growth. Typically, the...
supported by the new business model, which has been developed in co-operation with its owner - the Portuguese bank Millennium BCP, which holds 65.5% of its shares. Bank Millennium, together with its subsidiaries in Poland, provides specialized financial services such as leasing, brokerage, and mutual funds, which makes it one of the largest banking groups in Poland.
Controversies
In 2007, Millennium BCP faced turmoil amid probes of its accounts by Portuguese financial crime investigators, the central bank (BdP - Banco de PortugalBanco de Portugal
The Banco de Portugal is the central bank of the Republic of Portugal. Established by a royal charter of 19 November 1846 to act as a commercial bank and issuing bank, it came about as the result of a merger of the Banco de Lisboa and the Companhia de Confiança Nacional, an investment company...
) and stock market authorities (CMVM - Comissão do Mercado de Valores Mobiliários). The preliminary findings of an investigation by the CMVM stock market authority alleged the existence of several off-shore companies which Millennium BCP could have used to buy its own shares when it increased its capital in 2000 and 2001. The investigations were launched as a result of a complaint by a leading shareholder, José "Joe" Berardo, who owns 6.8% of the bank. He provided crime investigators with documents which, he alleged, showed that several offences had been committed. The documents provided by Berardo are said to prove various cases of fraud committed by various members of past boards of directors at the bank. The Economic Corruption and Financial Crime Investigative Committee, Direcção-Central de Investigação da Corrupção e Criminalidade Económica e Financeira (DCICCEF), was also to call Berardo, former temporary CEO Filipe Pinhal, former Chairman Jardim Gonçalves, shareholder Goês Ferreira, and former ousted CEO Paulo Teixeira Pinto, amongst others, to give or answer to evidence.
See also
- Millennium Bank (Greece)
- Bank MillenniumBank MillenniumBank Millennium S.A. – Poland based commercial bank with headquarters in Warsaw. The strategical investor of the bank is Banco Comercial Português ....
(Poland) - Millennium bim (Mozambique)