04:57 PM EDT, 09/27/2024 (MT Newswires) -- Banco Santander (SAN) hedged its equity stake in CACEIS, a joint venture with Credit Agricole, to reduce its regulatory burden, Bloomberg News reported Friday, citing people with knowledge of the matter.

The hedge involved a type of put option to offload risk from the 30.5% stake with at least some going to D.E. Shaw, the report said.

D.E. Shaw acquired the risk after Jefferies Financial Group ( JEF ) , acting as the arranger, presented the deal to institutional investors, the report said.

Santander, Credit Agricole and Jefferies declined to comment, and D.E. Shaw didn't reply to emails seeking comment, Bloomberg said.

Santander declined to comment to MT Newswires, and CACEIS, D.E. Shaw and Jefferies didn't immediately respond to requests for comment.

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