As part of the deal, it has also sold 5% of the capital of Amundi to Credit Agricole, thus bringing Societe Generale’s stake in the company to 20%.
This acquisition will bring together the strengths of a major international banking group with those of a world leading derivatives broker. With the combination of Societe Generale’s activities and Newedge’s execution and clearing services (both on listed and OTC products), clients will benefit from a fully integrated market activities offering, including cross asset research, tailor-made investment and hedging solutions, in addition to a leading prime brokerage offer, a well recognized agency model and direct execution, across 85 markets worldwide.
“The finalisation of the acquisition of Newedge is a significant strategic initiative which will allow us to position ourselves as key player in the rapidly growing sector of post trade services for investors”, said Christophe Mianné, Deputy Head of Societe Generale’s Global Banking and Investor Solutions. “We will be able to offer our clients the best of both institutions: the financial guarantee and financing capacities of a leading bank, allied with Newedge’s leading market positions, in particular in prime brokerage and clearing services. We are thus strengthening our international presence, whilst positioning ourselves favorably in the new regulatory environment».
These transactions are expected to result in a moderate positive impact on the Group’s earnings and a negative impact of approximately 10 bps on the Group’s Basel 3 Core Tier One ratio in Q2 2014. The completion of the project has been approved by the relevant regulatory authorities.
Press Contact: Saphia Gaouaoui
E: Saphia.gaouaoui[.]sgcib.com - T: +33(0)1 58 98 03 60
About Societe Generale
Societe Generale (societegenerale.com) is one of the largest European financial services groups. Based on a diversified universal banking model, the Group combines financial solidity with a strategy of sustainable growth, and aims to be the reference for relationship banking, recognised on its markets, close to clients, chosen for the quality and commitment of its teams. Societe Generale has been playing a vital role in the economy for 150 years. With more than 148,000 employees, based in 76 countries, we accompany 32 million clients throughout the world on a daily basis. Societe Generale’s teams offer advice and services to individual, corporate and institutional customers in three core businesses:
• Retail banking in France with the Societe Generale branch network, Credit du Nord and Boursorama, offering a comprehensive range of multichannel financial services on the leading edge of digital innovation;
• International retail banking, financial services and insurance with a presence in emerging economies and leading specialised businesses;
• Corporate and investment banking, private banking, asset management and securities services, with recognised expertise, top international rankings and integrated solutions.
Societe Generale is included in the main socially responsible investment indices: Dow Jones Sustainability Index (Europe), FSTE4Good (Global and Europe), Euronext Vigeo (Global, Europe, Eurozone and France), ESI Excellence (Europe) from Ethibel and 5 of the STOXX ESG Leaders indices.
Societe Generale: 150 years
In 2014, Societe Generale Group celebrates its 150th anniversary with a focus on entrepreneurial spirit, innovation and team spirit. Founded by a group of industrialists and financiers, the bank’s very name illustrated their ambition: "Société Générale pour favoriser le développement du commerce et de l’industrie en France” (“Societe Generale to support the development of trade and industry in France"), as written into the Imperial decree signed by Napoléon III on 4 May 1864.
Societe Generale has always served economic development, contributing to the financing of infrastructures that symbolised the modern world and of leading French groups. Societe Generale was among the first French banks to open branches in London and in Russia in the 1870s, before expanding into the Maghreb, New York and Africa and to set up operations in Central European countries.
Societe Generale has always been at the cutting edge of financial innovation, and takes strength from its origins to assert its banking vision for the future, reinvent its businesses to serve its clients and become the reference bank of the 21st century.