• The new company will specialise in the provision of point-of-sale consumer financing.
  • Crédit Agricole Consumer Finance will own 51% of the joint venture, while Bankia will hold the remaining 49%
  • This venture will reinforce Bankia's positioning in this business segment
  • The joint venture will market its products exclusively in Spain and solely through non-banking channels

Bankia and Crédit Agricole, the latter through its subsidiary Crédit Agricole Consumer Finance, have closed an agreement for the start of the creation of the joint venture through which the two entities will begin to operate in the consumer credit segment in Spain in the near future.

The new company will be 51%-owned by Crédit Agricole, with the remaining 49% held by Bankia. The venture will specialise in the provision of point-of-sale consumer financing.

To this end, Bankia and Crédit Agricole will work together to strike distribution agreements with both bricks-and-mortar and online retailers.

The products to be marketed by this new company notably include personal and consumer loans, consumer appliance leases, revolving credit lines and loyalty cards.

Note that this new joint venture between Bankia and Crédit Agricole, which requires the go-ahead from the regulatory and supervisory authorities, will market its products exclusively in Spain and solely through non-banking channels.

Bankia's CEO, José Sevilla, said that this agreement 'will enable us to continue to reinforce our positioning in this business segment with the aim of offering customers a very attractive product. We are very satisfied with the agreement reached with Crédit Agricole Consumer Finance for the provision of consumer financing at the point of sale as we have partnered with a leading player in the sector at the European level. The agreement will allow us increase the range of value-added products and services in the market, while introducing the latest technology and operating solutions'.

Philippe Dumont, CEO of Crédit Agricole Consumer Finance, said: 'We are very happy to partner with Bankia. This partnership aims at accelerating the setting up of Crédit Agricole Conusmer Finance's presence in Spain, the fourth largest consumer finance market in the Eurozone. We will build on Bankia's large customer base and strong knowledge of the Spanish market'.

Crédit Agricole Consumer Finance

Crédit Agricole Consumer Finance, Crédit Agricole SA's consumer credit subsidiary, markets a wide range of consumer financing products and services, mainly in France under the Sofinco, Viaxel and Credilift Courtage trademarks. It operates through a number of distribution channels, including direct sales and point-of-sale financing (automotive and household appliances) and through partnerships. Crédit Agricole Consumer Finance's loan book stood at €82.6 billion at year-end 2017. For more information: http://www.ca-consumerfinance.com/Open in a new window

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Bankia SA published this content on 28 May 2018 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 28 May 2018 16:47:04 UTC