* Nordea to make formal decision on May 30 - report
* Bank considering move to avoid Swedish fee hike
* Nordea spokesman says no decision taken yet
(Adds Nordea spokesman, background)
By Johan Sennero
STOCKHOLM, May 19 Nordea, the Nordic
region's biggest bank, has decided to move its headquarters from
Sweden and will take a formal decision later this month, Svenska
Dagbladet reported on Friday, citing undisclosed sources.
Europe's eighth-biggest bank by market capitalization had
threatened to move HQ if the Swedish government went ahead with
plans to hike fees paid by banks to a fund intended to shield
tax payers in a future financial crisis.
Swedish regulators have already imposed some of the toughest
capital requirements in Europe and Nordea says its fees would
rise to around 6 billion Swedish crowns in 2019 from 500 million
in 2016 under the proposal put forward this year.
Daily Svenska Dagbladet said the decision would be made
formally by Nordea's board on May 30.
"There is no such decision, but it is our aim that the board
will have enough information so that they are able to make a
decision on whether we are going to move before the summer,"
Rodney Alfven, Nordea's head of investor relations, said.
Finland and Denmark have said they would welcome Nordea, and
some analysts have warned that if it its HQ out of Sweden it
could scare off investors in the longer term as well as costing
jobs and tax revenue for the government.
Under Swedish rules, Nordea had to hold around 22 percent of
risk-weighted assets at the end of the fourth quarter. The bank
has just over 7,000 employees in Sweden, but a move would only
be likely to include a handful senior staff, Alfven said.
Danske Bank has estimated that Nordea's capital requirement
would fall to 14-15 percent if it moved to Finland where it
would be supervised by the European Central Bank.
Freeing-up capital would "allow for a significantly higher
dividend pay out than consensus forecasts", Danske said.
It expects Nordea to move its headquarters to Finland during
the year and raised its share price target on the stock to 135
crowns from 114 crowns.
Earlier this year Swedish Finance Minister Magdalena
Andersson played down the effect of a Nordea move, saying it
would reduce risks for the Swedish tax-payer.
(Additional reporting and writing by Simon Johnson; Editing by
Niklas Pollard and Alexander Smith)