Orange now owns 71% of the share capital of Groupama Banque, which owns the Orange brand Bank.
© Orange Bank
In 2016, Orange and Groupama signed an agreement to develop joint banking, under the brand Orange Bank. To do this, the telecom operator is mounted in the capital of the entity Groupama Bank to the tune of 65% for an amount of € 170 million. For its part, Groupama retained 35% of its subsidiary, and, thus, a blocking minority.
Orange Bank always relayed by Groupama
Last march 2, the competition authority has formally approved an ” exclusive control of the company Orange Bank by the company Orange “, as relayed by our colleagues from the Express. In the framework of an operation of recapitalisation of Orange Bank in view of its launch in Spain in the year 2020, Orange has definitely become an absolute majority in the company, Groupama Banque.
According to the Express, the subsidiary has been able to recapitalise to the tune of 89 million euros for this operation. The participation of Groupama in the common entity has been diluted to this occasion, from 35% to 29%. At the same time, the Orange sign to existing investors, a new shareholder pact, whose terms were not disclosed. The telecom operator would, however, confided that ” Groupama will continue to serve on the board of directors and to propose the commercial offering in its points of sale.”
If Orange Bank has now exceeded the half-million customers in france, the online bank continues to follow up the losses. Over the first 9 months of the year 2019, it announced that it had lost 115 million euros – a figure in line with previous years. Over the months, Orange Bank has developed its product range to better meet the needs of the French in everyday life. After having started with a current account, a credit card free, and a savings passbook, it has since diversified, with a credit to the consumer, and a premium card.
To see the range of Orange Bank, it’s here :
Discover Orange Bank
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