Open

Coming up

Don't miss

Replay


LATEST SHOWS

MEDIAWATCH

'Macron-economy' pun already worn out

Read more

DEBATE

What Next for Gaza? Lasting Ceasefire Agreed After 50 Days of War

Read more

DEBATE

What Next for Gaza? Lasting Ceasefire Agreed After 50 Days of War (part 2)

Read more

BUSINESS DAILY

New French economy minister signals changes to 35-hour week

Read more

IN THE PAPERS

Valls ♥ Business

Read more

FOCUS

Video: Milan is starting point for Syrian refugees’ European odyssey

Read more

MIDDLE EAST MATTERS

Terrorist ransoms: Should governments pay up for hostages?

Read more

ENCORE!

Kristen Stewart and Juliette Binoche star in 'Clouds of Sils Maria'

Read more

WEB NEWS

India: journalist launches "Rice Bucket Challenge"

Read more

  • Assad cannot be partner in fight against terrorism, says Hollande

    Read more

  • Kiev says Russian troops have entered Ukraine

    Read more

  • New Ebola case in Nigeria brings death toll to 1,552

    Read more

  • Video: 'Neither Baghdad nor the US can defeat the Islamic State'

    Read more

  • Platini will not run against Blatter for FIFA presidency

    Read more

  • Air France pilots announce week-long strike in September

    Read more

  • Erdogan's inauguration paves way for constitutional change

    Read more

  • New French economy minister takes swipe at 35-hour work week

    Read more

  • Air France suspends flights to Ebola-stricken Sierra Leone

    Read more

  • Uzi shooting by 9-year-old rekindles gun debate

    Read more

  • Mother of American journalist asks IS leader for his release

    Read more

  • UN probe accuses Syrian regime, Islamists of ‘crimes against humanity’

    Read more

  • Uruguayans sign up to grow marijuana at home

    Read more

  • Missouri governor appoints black public safety director

    Read more

  • French unemployment rises 0.8% in July to record high

    Read more

  • Video: Iraq’s Yazidis flee to spiritual capital of Lalish

    Read more

  • Video: Milan is starting point for Syrian refugees’ European odyssey

    Read more

  • Airstrikes and Assad - Obama’s military conundrum in Syria

    Read more

Business

New deal reached on Fortis asset sale to BNP

Latest update : 2009-01-30

Belgian officials, BNP Paribas and the Fortis holding company reached an agreement on the sale of most of the group's Belgian assets to BNP Paribas, according to a Belgian government statement.

AFP - Belgian officials, BNP Paribas and the Fortis holding company have reached an agreement on the sale of most of the group's Belgian assets to the French bank, the Belgian government announced Friday.
  
"Fortis Holding and its shareholders now have a perspective and means united around a credible industrial project," a statement said, after a meeting of the government's inner cabinet early Friday.
  
Under the deal, thrashed out through the night, the French group would give up plans to buy most of Fortis's insurance business.
  
BNP would take 10 percent of the insurance operations for a sum of 550 million euros (709 million dollars), instead of 75 percent of the Belgium insurance business as was planned in a previous agreement reached in October.
  
The statement said that the Fortis board had approved the plans on the condition that they be accepted by shareholders.
  
The government hopes minority shareholders will now back the sale of most of the group's Belgian assets to BNP after the initial deal was suspended by a Brussels court because they had not been consulted.
  
This led to the transaction being frozen.
  
As the global financial crisis undermined investor confidence, the Belgian-Dutch financial services group was broken up in October. The Dutch state took over its Dutch assets, and Belgium the Belgian banking assets.
  
The Belgian state then orchestrated the sale of Fortis's Belgian banking assets and 75 percent of its Belgian insurance business, still owned by the holding company, to BNP Paribas.
  
In December, a Brussels appeals court backed a legal challenge against the deal from minority shareholders, ruling that they should have been consulted first, and appointing the panel to review the operation.
  
A court-appointed panel of experts backed on Tuesday the sale of Fortis' Belgian assets to the French bank but recommended that some conditions of the deal be re-negotiated.
  
The crisis helped bring down Belgian's government last month.
  
Former prime minister Yves Leterme's office was accused of trying unsuccessfully to persuade the court not to grant the shareholders' legal appeal against the Fortis break-up.
  

Date created : 2009-01-30

COMMENT(S)