The Evolution and Market Impact of Santander Mexico --- SWIFT Code BMSXMXMMXXX

Ⅰ. Historical development of Santander Mexico Bank

1. Early Origins and Initial Development

Santander México traces its roots back to Banco Mexicano, founded in 1932, which became the surviving entity in 1958 when Banco Mexicano merged with Banco Español, and in 1979 the bank changed its name to Banco Mexicano Somex. In 1982, the bank was nationalized in a wave of nationalization of the Mexican banking sector, and in 1996, Grupo Santander of Spain acquired Grupo Invermexico, marking its official entry into the Mexican market. The bank then underwent a series of acquisitions and changes, culminating in 2000, when it merged with Grupo Financiero Serfin and was renamed Grupo Financiero Santander Serfin in 2001. In 2008, the branding was further simplified to Banco Santander (México). In 2008, the brand was further simplified to Banco Santander (México) and finalized in August 2012 as Grupo Financiero Santander Mexico, S.A.B. de C.V., which it remains today.

2.Recent developments and market position

In 2010, Grupo Financiero Santander took full control of its Mexican operations by buying back its stake from Bank of America for US$2.5 billion, further consolidating its position in the market. Today, Santander México is one of the leading financial institutions in Mexico, offering a wide range of services, including retail banking, corporate banking, securities brokerage, and financial consulting.

II. Santander México's market presence

Santander México plays an important role in the domestic banking industry in Mexico, as well as a broad market presence in Latin America and globally as one of the core subsidiaries of Spain's Banco Santander Group (Banco Santander).

1.Domestic market share in Mexico

Santander México is one of the major banks in the Mexican banking industry. It ranks among the top in key metrics including total assets, deposits, and loans. In the deposit market, Santander México held the third largest share at 12.7%, while in the lending business, it ranked fourth with a market share of 12.1%. The Mexican banking sector is highly concentrated, with the top four banks (BBVA, Banorte, Santander and CitiBanamex) together dominating the market.

In terms of market segments, Santander México maintained a strong performance in retail banking, commercial banking and credit cards. Although the exact share of the credit card market is not explicitly disclosed, the bank shares a significant position with institutions such as American Express and HSBC. As credit card penetration in Mexico has increased in recent years, Santander México has continued to attract customers through a diverse range of financial products and incentives, strengthening its market position.

2. International market presence

Santander México, an important division of Grupo Santander, holds a key position in the Latin American market. Grupo Santander is one of the largest financial institutions in Latin America, with a presence in several countries and serving more than 76 million customers. Mexico is one of the group's core markets in Latin America, contributing a sizable share of the business and playing an important role in the global strategic landscape.

Grupo Santander is the fourth-largest bank in Europe, with a presence in several markets in Europe, the Americas and Asia. Santander México is a key subsidiary of the group, enhancing its competitiveness in emerging markets.

III. Santander México's principal activities

Santander México, as one of the leading financial institutions in Mexico, offers a comprehensive range of banking and financial services covering the different needs of individual, corporate and institutional clients. Its business scope mainly includes various areas such as retail banking, commercial banking, investment banking and digital financial services.

1. Personal Banking

Santander México offers a diversified range of financial products and services to individual customers:

• Savings and deposits: covering current accounts, savings accounts, time deposits and large certificates of deposit to meet the fund management needs of different customers.
• Loan products: including personal consumer loans, auto loans, mortgages, and payroll loans to help customers achieve their home, car, or other financial goals.
• Credit and Debit Cards: Offers a wide range of credit card options, some of which come with cash back, interest-free periods and other benefits, as well as support for online payments and daily spending.
• Digital banking services: Through the SuperMóvil mobile application and the Openbank digital banking platform, customers can perform operations such as account management, money transfers, bill payments, etc. and enjoy convenient online financial services.

2. Commercial Banking

3. Investment Banking and Capital Markets Services