Credit Agricole SA · EURONEXT:ACA
Credit Agricole SA — Merger or Acquisition (2005)
11 slides from Credit Agricole SA's merger presentation, 2005
Slide 1: Plan to merge asset management activities in Italy of Crédit Agricole S.A. and Banca Intesa
Plan to merge asset management activities in Italy of Crédit Agricole S.A. and Banca Intesa
Slide 2: Contents
Contents ü Objectives of the plan ü Opportunities and expected synergies ü The transaction ü Impact for Crédit Agricole group 2
Slide 3: Objectives of the plan
Objectives of the plan ü Strengthening of the relationships between Crédit Agricole and Banca Intesa § In line with the renewal of the Governance Agreement § Crédit Agricole, main shareholder of Banca Intesa (18% of the capital) § Further strengthens a long-lasting relationship between partners used
Slide 4: CAAM reinforces its positioning as a European leader
Objectives of the plan ü Crédit Agricole Asset Management (CAAM) reinforces its positioning as a European leader § Combination of CAAM group, first French manager of mutual funds (assets under management of €333bn1) and Nextra Investment Management Sgr (assets under management of €100bn1), second It
Slide 5: Acquisition of a major player in asset management in Italy: Nextra
Objectives of the plan ü Acquisition of a major player in asset management in Italy: Nextra § Results from the combination in January 2002 of Intesa AM and Comit AM § Around €100bn of assets under management at the end of 2004, a net banking income of €210m and an operating income of €114m § Second
Slide 6: A transaction in line with Crédit Agricole's strategy and strategic partnerships
Objectives of the plan ü A transaction in line with Crédit Agricole’s strategy… § Strengthening of the international activities of CAAM (almost one-third of its assets under management)… § …and based on powerful distribution networks: the widest in France (CA and CL networks: around 9,000 branches),
Slide 7: Creation of a common asset management platform in Italy
Opportunities and expected synergies ü Creation, from Nextra and CAAM Sgr, of a common asset management platform in Italy, jointly held by Crédit Agricole and Banca Intesa ü Strategic combination based on complementarity of: § Products § Distribution networks § Geographical coverage ü Proposal by th
Slide 8: Enhancement of profitability and synergies
Opportunities and expected synergies ü Enhancement of profitability and synergies § Economies of scale § Optimisation of the production platform § Increasing of sales to Banca Intesa distribution networks and to other banking networks in Italy and direct clientele § Synergies identified by the two g
Slide 9: Long term commitment of the two shareholders
Opportunities and expected synergies üLong term commitment of the two shareholders § Crédit Agricole: controlling shareholder (65%) with global ambitions in asset management § Banca Intesa: significant minority shareholder (35%) with long-term committed shareholding position § Confidence in the comb
Slide 10: The transaction
The transaction ü Acquisition by Crédit Agricole group of 65% of the combined entity § Cash acquisition of Nextra shares, valued at €1,340m (for 100%) § Contribution of CAAM Sgr in Italy (assets under management : €8bn) to Nextra ü Acquisition price subject to an adjustment mechanism (+/- €100m for
Slide 11: Impact for Crédit Agricole group
Impact for Crédit Agricole group ü The transaction will be financed by Crédit Agricole S.A.’s resources ü The transaction is 0.8% EPS accretive as of 2005 ü The transaction should generate goodwill of about €650m and, all things being equal, immediately negatively impact the Tier 1 ratio up to 0.3%