New pan European leader in operational car leasing established by Stellantis and Crédit Agricole

New pan European leader in operational car leasing established by Stellantis and Crédit Agricole

• Crédit Agricole and Stellantis intend to join forces to create a European leader in long-term leasing
• CA Consumer Finance plans also to launch a panEuropean, multi-brand operator in automotive financing, leasing and mobility

(PRESS RELEASE) MONTROUGE, France, 17-Dec-2021 — /EuropaWire/ — Crédit Agricole Group (EPA: ACA), a French international banking group and the world’s largest cooperative financial institution, and Stellantis, a leading global automaker and provider of innovative mobility solutions formed out of the merger of Fiat Chrysler and PSA Group, have announced the creation of a new pan-European player in long-term leasing, that will be equally owned by CA Consumer Finance, Crédit Agricole S.A.’s consumer credit subsidiary, and Stellantis¹. The deal will see CA Consumer Finance becoming Stellantis’ exclusive partner in long-term leasing, and the target of the joint venture would be to manage a fleet of over one million vehicles by 2026. Furthermore the newly formed joint venture would instantly position itself among the top 5 leaders in long-term leasing in Europe.

In addition, CA Consumer Finance intends to establish on a stand-alone basis a pan-European, multi-brand operator in automotive financing, leasing and mobility. Leveraging on the expertise provided by FCA Bank and Leasys Rent, the new wholly owned entity would aim at managing €10 billion of outstandings by 2026. It would offer white-label services and also target platforms, car-dealerships and short-term leasing operators.

The implementation of the intended transactions involving Stellantis, Crédit Agricole S.A. and its subsidiary CA Consumer Finance would take place in the first half of 2023, subject to prior consultation with employee representative bodies and prior to required approvals from the relevant competition and regulatory authorities. The impact of this transaction on Crédit Agricole S.A.’s CET1 ratio would be overall neutral.

The targeted transaction is balanced and would preserve the value created within the joint venture FCA Bank, while boosting CA Consumer Finance’s growth in the expanding long-term leasing market. In the medium term, this project would offer an additional revenue growth potential, thereby consolidating CA Consumer Finance’s profitability target² without affecting, in the short term, its results trajectory.

The contemplated transaction would be fully in line with the Group’s universal banking model in that it reinforces the products and services that Crédit Agricole Group can offer to its customers. Following the announcement of CA Leasing & Factoring’s purchase of Olinn and the creation of CA Mobility by CA Consumer Finance and CA Leasing & Factoring, Crédit Agricole continues to adapt to the changing needs of its customers, particularly with regard to mobility, and accompanies the transition to green mobility.

¹ Through the pooling of Leasys, long-term leasing subsidy of FCA Bank, leader on its market in Italy, and Free2Move Lease, long-term leasing activity historically covering the PSA brands.
² 15% return on normalised equity (RONE) in 2023, as announced at the CA Consumer Finance Investors Day in December 2020

Media contacts:

Charlotte de Chavagnac +33 (0)1 57 72 11 17 charlotte.dechavagnac@credit-agricole-sa.fr
Olivier Tassain +33 (0)1 43 23 25 41 olivier.tassain@credit-agricole-sa.fr
Pauline Vasselle +33 (0)1 43 23 07 31 pauline.vasselle@credit-agricole-sa.fr

SOURCE: Crédit Agricole