Bpce: BPCE signs a Memorandum of Understanding to acquire novobanco, Portugal's fourth-largest bank
Paris, 06 13 2025
Groupe BPCE, the second-largest bank in France1 and the fourth-largest in Europe2, has signed a Memorandum of Understanding for the acquisition of a 75% equity interest in novobanco from the private equity firm Lone Star Funds. The transaction, representing a cash amount of approximately3 €6.4bn (for 100% of the shares) and a multiple of around 9x annual earnings, is the biggest cross-border acquisition in the euro zone for more than 10 years.
Following the creation of BPCE Equipment Solutions at the start of the year, this project marks a new key stage in the execution of the 'Vision 2030' strategic plan, geared to developing and diversifying BPCE in France, Europe and the wider world. On completion of the transaction, Portugal would become the Group's second-largest domestic retail market.
Novobanco, a solid player in Portugal demonstrating exemplary growth in recent years
Novobanco, Portugal's fourth-largest bank4, has built up a solid franchise and holds market shares of c.9% with individual customers and c.14% with corporate clients. It has 1.7 million individual customers and manages a €17bn corporate loan book. With its 4,200 employees, novobanco operates through some 290 branches and an extensive network of external partners, while also offering a rich customer experience through its digital channels.
In recent years, novobanco has become one of the most profitable banks in Europe, posting a cost-income ratio under 35% and a return on tangible equity (RoTE) exceeding 20%5. These results have been underpinned by the quality of novobanco's teams, together with the engagement of its shareholders for the last eight years.
BPCE, lasting engagement in Portugal, focused on financing the economy
BPCE currently employs over 3,000 staff in Portugal, a figure testifying to its lasting engagement with the country. Since 2017, the opening of a multi-business center of expertise in Porto has deepened its local ties.
By welcoming novobanco into the Group, alongside the Banque Populaire and Caisse d'Epargne banking networks, which already serve the French economy, BPCE would further strengthen its role as an important development partner for the Portuguese economy, recognized for its solid fundamentals and resilience. Through the transaction, BPCE intends to facilitate financing for local companies and individuals' projects, while also expanding the range of services offered to Portuguese customers. BPCE will leverage all of its expertise to strengthen value creation in close collaboration with novobanco.
Execution of the 'Vision 2030' strategic plan
The acquisition of novobanco would help diversify BPCE in two respects: geographically, via access to a dynamic economy, and in balance sheet terms, by increasing the proportion of variable rate loans on its balance sheet, thus improving its revenue profile. The acquisition would be a growth driver for the whole Group. It is perfectly consistent with BPCE's 'Vision 2030' strategy, underlining the Group's determination to expand in France, Europe and the wider world through strategic investments that create lasting value. The transaction marks a new key stage in the Group's European-scale growth, following the creation of BPCE Equipment Solutions in February 2025 and the ongoing project to create the leading European asset manager in partnership with Generali. On completion of the transaction, Groupe BPCE's CET1 ratio would remain above 15%.
Timing of the transaction
BPCE is engaging in discussions with the Portuguese government and the Portuguese Banking Resolution Fund with a view to acquiring their equity interests in novobanco (11.5% and 13.5%, respectively), on identical terms.
BPCE will proceed with the necessary consultations with employee representative bodies in order to sign the acquisition contract. The project is projected for completion in the first half of 2026.
For Nicolas Namias, CEO of BPCE
'BPCE is pleased to announce today the project to acquire novobanco in Portugal. Holding market shares of c.9% with individual customers and c.14% with corporate clients, novobanco possesses excellent fundamentals, strong growth potential and an already high level of profitability. Major player in local banking in France thanks to the Banque Populaire and Caisse d'Epargne banking networks, BPCE would become a retail banking player in Europe with the acquisition of novobanco and would actively participate in financing the Portuguese economy.
A few months after the creation of BPCE Equipment Solutions, the projected transaction marks a new key stage in the execution of our Vision 2030 strategic plan, announced close to a year ago.
The financial terms of the transaction reflect a disciplined and stringent valuation approach, as well as our confidence in novobanco's ability to create value over time.
BPCE's executive managers and employees are all particularly enthusiastic about the prospect of welcoming novobanco, its management and its 4,200 employees, in order to write a new chapter of growth, innovation and performance in Europe together'.
About Groupe BPCE
Groupe BPCE is the second-largest banking group in France and the fourth-largest in the euro zone in terms of capital. Through its 100,000 staff, the group serves 35 million customers – individuals, professionals, companies, investors and local government bodies – around the world. It operates in the retail banking and insurance fields in France via its two major networks, Banque Populaire and Caisse d'Epargne, along with Banque Palatine and Oney. It also pursues its activities worldwide with the asset & wealth management services provided by Natixis Investment Managers and the wholesale banking expertise of Natixis Corporate & Investment Banking. The Group's financial strength is recognized by four credit rating agencies with the following senior preferred LT ratings: Moody's (A1, stable outlook), Standard & Poor's (A+, stable outlook), Fitch (A+, stable outlook) and R&I (A+, stable outlook).
Press contact Groupe BPCEChristophe Gilbert : 33(0)1 40 39 66 00 / 33(0)6 73 76 38 98christophe.gilbert@bpce.fr - groupebpce.com
1 Ranking based on market share of outstanding loans for all non-financial customer segments (Banque de France 3Q24)2 Ranking in terms of capital (€73bn for BPCE) 3 Estimated consideration as of December 2025 4 Ranking in terms of balance-sheet size at end-20245 In first-quarter 2025
Attachment
20250613_PR_BPCE_novobanco_GB

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
5 hours ago
- Yahoo
STMicro to buy part of NXP Semiconductors' sensor business for up to $950 million
(Reuters) -French-Italian chipmaker STMicroelectronics said on Thursday it would acquire part of NXP Semiconductors' sensor unit for up to $950 million in cash. The deal would expand STMicro's portfolio of MEMS-based electromechanical sensors, which include safety and monitoring sensors for vehicles as well as pressure sensors for industrial applications. The unit generated revenue of about $300 million last year, STMicro said in a statement. As part of the agreement, STMicro would make an upfront payment of $900 million and $50 million on achieving certain technical milestones. The deal is expected to close in the first half of 2026. Chipmakers exposed to the struggling automotive, industrial, and consumer chip markets have faced a sales slump as they grapple with low demand and high inventories. Earlier in the day, STMicro, one of Europe's largest chipmakers, reported its first quarterly loss in over a decade as it took a $190 million hit from restructuring and impairment costs. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data


Forbes
5 hours ago
- Forbes
Billionaire Co-Owner Of New York Jets Completes Purchase Of Crystal Palace F.C.
Chairman Steve Parish celebrates Crystal Palace's FA Cup win at Wembley Stadium on May 17, 2025 in ... More London. (Photo by) Robert 'Woody' Johnson has completed his purchase of a 43% stake in Crystal Palace from Eagle Football Holdings, the south London club confirmed on Thursday. The 78-year-old billionaire said he was honored and privileged to be joining the ownership group of Crystal Palace. 'It is an organization with a proud history, tradition, and deep roots in English football in south London, which I came to admire during my time as U.S. ambassador to the United Kingdom,' he said. 'This is more than an investment - it's a commitment to realizing the vision for the club, the community, and the culture around Selhurst Park.' he added. Johnson served as the U.S. ambassador to the U.K. during Donald Trump's first term as President. As the heir to the health products giant Johnson & Johnson, he has a net worth of $3.5 billion, according to the World's Real-Time Billionaires ranking. Johnson joins Steve Parish, the club's chairman, and fellow Americans Josh Harris and David Blitzer on the board of Crystal Palace. Parish said, 'At this exciting time for Crystal Palace, we are delighted to be welcoming Woody to the ownership of the football club, and we very much look forward to working alongside him to build on our historic recent success moving forwards.' Johnson's investment in Palace comes at A time when the club is waging a campaign to overturn UEFA's decision to eject them from the Europa League for breaching the European governing body's rules on multi-club ownership. Eagle Football, the investment vehicle of John Textor, also owns a 77% stake in in French club Lyon, who had also qualified for the same competition. Lyon takes precedence over Palace because of their higher league finish. The seven-time French champions were sixth in Ligue 1, whereas Palace was 12th in the Premier League. Palace have instead been demoted to the Conference League, and Nottingham Forest have taken their place in the Europa League. Palace have submitted an appeal with the Court of Arbitration for Sport (CAS) against their demotion. The club have lodged their appeal against UEFA, Lyon and Nottingham Forest. CAS is expected to make its decision on the case on or before August 11. UEFA's decision to strip Palace of its place in the Europa League was 'the most ridiculous technicality you could ever imagine,' Parish had said to Sky News earlier. And he later said that he was "very hopeful" UEFA's decision would be overturned. 'We don't think this is the right decision by any means,' Parish told The Rest is Football podcast. 'We know unequivocally that John [Textor] didn't have decisive influence over the club. We know we proved that beyond all reasonable doubt because it's a fact.' Earlier this week, Crystal Palace supporters traveled to UEFA's headquarters in Switzerland to protest the governing body's decision. The Holmesdale Fanatics, an ultras-style supporters' group, said that they delivered a letter to UEFA President Aleksander Ceferin to demand that Palace be reinstated into the Europa League. They also delivered a suitcase filled with fake money as a means of illustrating 'the contradictions between their supposed 'fundamental values' of integrity and fairness, and the reality of their business methods and general conduct.' New York Jets owner Woody Johnson speaks at the press conference in New Jersey. (Photo by Ed ...)
Yahoo
6 hours ago
- Yahoo
Marie Brizard sales slide amid France, US pressure
Marie Brizard Wine and Spirits saw its revenue slide almost 9% in the first half of the year, hit by declines in France and the US. The Sobieski vodka owner followed falling sales in the opening three months of the year with a sharper downturn in the second quarter. First-half revenue decreased 8.5% to €86.6m ($101.9m) and sank 13.7% in the second quarter. First-quarter revenue had dipped 2.3%. The French wine-and-spirits group said the revenue from its domestic business tumbled 17.4% in the first half. It cited 'difficult commercial negotiations with the off-trade' at the start of the year in a French spirits market that 'continues to decline'. Marie Brizard said it had requested price increases from customers in France to offset the 'sharp rises in the cost of matured spirits'. Most customers had supported the 'adjustments', the group said, with talks ongoing with all customers. The company's sales in France plunged 23.8% in the second quarter amid falling distribution for its William Peel Scotch whisky. In the French on-trade, Marie Brizard said its sales increased more than 12% in the first half 'with growth across all brands in the portfolio'. The group reports its sales across two geographic areas – France and International. Outside France, Marie Brizard's first-half revenues fell 1.3% and were down 5.6% in the second quarter. Marie Brizard said it saw 'a sharp decline' in the US in the second quarter, pointing to 'to a mass reduction in inventories decided unilaterally by our importer'. The company's US sales slid more than 57% in the second quarter. It said the cuts in inventory amounted to a 2.4% fall in group revenues in the first half of the year. It said its business in Canada 'returned to growth' in the second quarter. The group saw 'strong growth' in Poland, it added. Marie Brizard said it is controlling costs to protect profits and pointed to two sides of the business that are 'performing well' – industrial services (which includes bottling contracts and bulk sales) and agency brands. 'However, commercial visibility for the coming months remains uncertain and limited, due in particular to the risks associated with possible increases in customs duties in the second half of 2025 and their impact on international trade, which could weigh on the group's overall profitability,' it added. "Marie Brizard sales slide amid France, US pressure" was originally created and published by Just Drinks, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data