Credit Agricole : Crédit Agricole S.A. announces it has signed an agreement to acquire more than 95% of the Cesena, Rimini and San Miniato savings banks
September 29, 2017 at 11:56 am EDT
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Crédit Agricole S.A. announces that its subsidiary, Crédit Agricole Cariparma SpA, has signed an agreement with the section 'Voluntary Scheme' of the Italian Interbank Deposit Protection Fund (the 'Schema Volontario'), Cesena savings bank (Cassa di Risparmio di Cesena SpA), Rimini savings bank (Cassa di Risparmio di Rimini SpA) and San Miniato savings bank (Cassa di Risparmio di San Miniato SpA) to acquire more than 95% of the capital of these three banks.
Constructive talks were held throughout the summer, in a spirit of mutual respect and shared engagement, with the Schema Volontario and the banks, with the active support of the Authorities involved. As a result, the conditions were met for the conclusion of this agreement, which sets out the structure and scope of the transaction, in particular the specific capital increases of each of the three banks and the conditions for the deconsolidation of the bulk of their non-performing exposures giving rise, among others, to an improvement in the group's risk profile in Italy.
The Schema Volontario will bolster the capital of the target banks before the transaction completion date in order to align their CET1 ratios with the criteria specified by the Crédit Agricole Group; the portfolios of non-performing exposures, which amount to a gross value of around €3 billion, will be securitised with the help of the Fund Atlante II or sold to private investors. Crédit Agricole Cariparma will pay €130m to the Schema Volontario for the acquisition of an interest of more than 95% in the three target banks.
The terms of the agreement will allow all three banks to enjoy a solid financial structure, a necessary condition for them to resume supporting the development of their respective territories, Crédit Agricole Cariparma to contribute to the reinforcement of the Italian banking system and to close a transaction that will create value in the long term, in strict compliance with its investment criteria.
The transaction will be subject to the approval of the relevant supervisory and competition authorities. It is expected to be finalised by the end of 2017.
In accordance with the announcement in April 2017 on the opening of the negotiations, the impact of this transaction on the CET1 ratios of Crédit Agricole S.A. and the Crédit Agricole Group will be around 10bp.
Crédit Agricole SA published this content on 29 September 2017 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 29 September 2017 15:54:09 UTC.
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Crédit Agricole S.A. is one of the leading European banking groups and is the leading financial backer of the French economy. Net Banking Product breaks down by activity as follows:
- retail banking (30.1%): activities in France (Crédit Lyonnais) and abroad. Furthermore, the group is present in France via its 39 regional networks of branches (making it the biggest French banking network);
- finance, investment and market banking (30.1%): standard and specialized bank financing activities (financing for acquisitions, projects, aeronautical and maritime assets, etc.), stock operations, consulting in mergers and acquisitions, investment capital, etc.;
- asset management, insurance and private banking (25.9%);
- specialized financial services (13.9%): consumer loan, leasing and factoring (No. 1 in France).
At the end of 2023, Crédit Agricole S.A. managed EUR 835 billion in current deposits and EUR 516.3 billion in current credits.
NBP is distributed geographically as follows: France (46%), Italy (20%), European Union (14.3%), Europe (7.2%), North America (6%), Japan (1.3%), Asia and Oceania (3 .5%), Africa and Middle East (1.3%), Central America and South America (0.4%).
Credit Agricole : Crédit Agricole S.A. announces it has signed an agreement to acquire more than 95% of the Cesena, Rimini and San Miniato savings banks