Published by Global Banking & Finance Review®
Posted on January 12, 2026
1 min readLast updated: January 19, 2026
Add as preferred source on GoogleCredit Agricole secures ECB approval to raise its Banco BPM stake above 20%, impacting earnings and capital ratio positively.
Jan 12 (Reuters) - France's lender Credit Agricole said on Monday it had received European Central Bank approval to raise its stake in Italian Banco BPM above 20%, cementing its position as a long-term shareholder in Italy's third-largest bank.
The approval comes a day after Italian media reported the ECB was poised to clear the move with governance conditions aimed at preventing a de facto takeover.
The French bank said the change means its results will no longer swing with Banco BPM's share price.
The move will bring a one-off hit of about 600 million euros to its fourth-quarter earnings, but the overall impact for 2025 will be positive at around 200 million euros.
The bank added the stake will slightly boost its core capital ratio.
Credit Agricole has been working with advisers on options for its Italian arm and has previously explored a merger with Banco BPM, sources told Reuters in September.
(Reporting by Dagmarah Mackos; Editing by Chris Reese and Chizu Nomiyama )
A capital ratio is a financial metric that measures a bank's capital in relation to its risk-weighted assets. It indicates the bank's financial stability and ability to absorb losses.
A stake in a company refers to the ownership interest held by an individual or entity, typically represented as a percentage of the total shares outstanding.
A merger is a business strategy where two companies combine to form a single entity, often to enhance competitiveness, increase market share, or achieve synergies.
The European Central Bank (ECB) is the central bank for the eurozone, responsible for monetary policy, maintaining price stability, and overseeing the banking system within the European Union.
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