SocGen to offer to buy out minority shareholders in online bank Boursorama

Societe Generale has said it will offer to buy out minority shareholders in its internet banking brand, Boursorama, increasing its presence in the online sector.

Societe Generale has said it will offer to buy out minority shareholders in its internet banking brand, Boursorama, increasing its presence in the online sector.

The French bank owns 56% of its online business, which currently has 505,000 French customers and is aiming to grow to 600,000 by the end of 2014, while minority investors hold around 23%.

At the end of 2013 Boursorama had €4.48bn ($6.23bn) in customer deposits and €2.61bn in customer loans, making it an attractive source of income for SocGen, which makes about a third of its revenue from retail operations.

SocGen’s ability to take a bigger share of Boursorama is curbed by Spanish Caixa Group, which will not be selling its 21% stake in the online business.

On 18 March, the French bank said it would offer minority stakeholders €12 per share through France’s AMF regulator, 22% more than Boursorama’s closing price the previous day at €9.83 and worth €242m in total.

 

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