(Finance) – Crédit Agricolea French banking giant, has notified the Italian Authority and others BPM desk to have subscribed to financial instruments related to 5.2% of the capital of Banco BPM, which can be physically regulated subject to approval from the regulatory authorities.
Considering the 9.9% share already held, the aggregate position resulting in Banco BPM notified by Crédit Agricole amounts to 15.1%.
Crédit Agricole will require authorization of the supervisory authority to increase its share in the share capital of Banco BPM beyond 10% and up to 19.99%.
“This transaction is consistent with Crédit Agricole’s strategy as long-term investor and partner of Banco BPM: strengthens the solid industrial partnerships in the consumer credit and bank-insurance sectors (PPI and CPI non-life), as well as testifying to Crédit Agricole’s appreciation for the intrinsic qualities of Banco BPM, such as a solid market position and positive financial prospects”, we read in a note.
Crédit Agricole does not intend to launch an offer public takeover bid (OPA) for Banco BPM shares.
The transaction is not expected to have a significant impact on the ratio CET 1 of Crédit Agricole.