Orange in exclusive negotiations with BNP Paribas as it looks to exit retail banking market
French telecommunications giant Orange Group is in exclusive negotiations with BNP Paribas to take on its Orange Bank customers as the firm looks to withdraw from the retail banking market.
Orange Bank is withdrawing from the retail banking market
Orange Group’s board of directors have given the go-ahead to work out a partnership with BNP Paribas for Orange Bank’s two-million-strong customer portfolio in France and to develop financing solutions for mobile devices. The pair will also negotiate terms for a takeover of Orange Bank’s Spanish business.
The talks with BNP Paribas form part of Orange’s wider intention to progressively withdraw from the retail banking market in France and Spain following a strategic review of its banking business that was launched several months ago.
Throughout the process, there will be no change in services, existing loans or day-to-day operations for customers, Orange Bank says, adding that it continues to have “a solid balance sheet”.
“The evolution of the banking market now leads us to guide the bank into a new phase,” comments Christel Heydemann, Orange Group CEO, adding that its priority will be to provide support for all employees and customers and that the process will be carried out in “complete transparency”.
Launched in France in November 2017, Orange Bank offers all basic banking services to consumers, including cards, savings accounts, personal loans, insurance and mobile payments through its app. It launched its Spanish operations in November 2019.
