(Adds details of transaction and value)
PARIS (Thomson Financial) - Credit Agricole and Banco Popolare said they
reached agreement on creating a consumer credit joint venture in Italy, with
Credit Agricole holding 61 percent and Banco Popolare holding 39 percent.
The pact calls for Credit Agricole's consumer credit unit, Agos, to acquire
Banco Popolare's consumer credit unit, Ducato, for 1 billion euros, as Ducato
launches a 130 million euro capital hike to be subscribed by Banco Popolare.
Agos will launch its own capital hike of 1 billion euros, also to be
subscribed by Banco Popolare, allowing Banco Popolare to achieve its 39 percent
holding in the joint venture.
Credit Agricole will pay Banco Popolare a dividend of 30.5 million euros as
part of the agreement.
The venture will be Italy's largest consumer credit company with a 14
percent market share.
michael.strauss@thomsonreuters.com
mjs/vs/mjs/ak
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