Awards for Excellence 2009: Netherlands

Best Bank: Rabobank Best Investment Bank: JPMorgan

Although 2008 was difficult for the financial sector globally, Rabobank managed to realize a 2% rise in net profit to €2.8 billion. Return on equity was 9.7% and the liquidity position lost none of its soundness. Amounts due to customers were 10% higher, at €304 billion. Also, the bank maintained good access to the capital market.

Rising credit prices caused interest margins to improve, particularly for Rabobank International. The tier 1 ratio remained strong, at 12.7%. In October and November 2008, rating agencies Standard & Poor’s and Moody’s both reconfirmed a triple-A rating with a stable outlook.

The financial crisis and government interventions have brought great changes in the Dutch banking landscape over the past 12 months. Rabobank succeeded in expanding its leading market positions in a number of areas including the savings market, where Rabobank Group’s share, including Roparco, rose by two percentage points to 43%. The local Rabobanks saw a significant inflow of new clients and savings.

Although the total Dutch mortgages market showed a 15% decline in 2008, Rabobank’s market share in domestic retail banking increased to 30% from 28%. Rabobank is the market leader in all SME sectors and its share of the total SME market increased slightly to 39% from 38%.

Lending in 2008 was driven by corporate financing. The increase in the number of clients in the small and medium-sized enterprises sector, combined with higher demand, caused Rabobank’s lending to the trade, industry and services sector to increase by 21% to €55.7 billion.

This growth in the loan book was well funded by strong growth in time deposits for both private individuals and businesses. The increase in the amounts due to customers enabled the local Rabobanks to finance their growth in lending completely on their own in 2008.

JPMorgan successfully led some of the most important Dutch M&A and corporate transactions. Among others, it advised Fortis on its restructuring through a series of transactions that began in September 2008. JPMorgan also acted as sole financial adviser to ING on its issue of €10 billion of non-voting core tier 1 securities to the Dutch state last October.

At the start of this year, JPMorgan acted as exclusive financial adviser, rating adviser, financing coordinator and joint acquisition-financing bookrunner to German utility RWE on its €9.3 billion cash offer for Dutch energy group Essent’s commercial activities, one of the largest corporate M&A transactions ever in the Netherlands.

The firm has also led important corporate bond deals for AkzoNobel, Nederlandse Gasunie, Shell, Schiphol Airport, DSM and KPN.