Societe Generale to Sell African Subsidiaries
Societe Generale said Thursday that it has agreed to sell several of its subsidiaries in Africa and has launched a strategic review of its subsidiary in Tunisia.
The French bank said it has signed agreements to sell its Congo and Equatorial Guinea subsidiaries to Vista Group and its Mauritania and Chad subsidiaries to Coris Group.
Both Vista and Coris are pan-African banking groups, SocGen said.
The agreements plan the full divestment of SocGen’s 93.5% share ownership in Societe Generale Congo, its 57.2% share ownership in Societe Generale de Banques en Guinee Equatoriale, its 95.5% share ownership in Societe Generale Mauritanie and its 67.8% share ownership in Societe Generale Tchad.
The completion of the sales could take place by the end of 2023 and, subject to regulatory approval, would have an approximately 5 basis point benefit to the bank’s CET1 ratio.
“Societe Generale group is confident in the ability of Vista Group and Coris Group to pursue the development strategy of these entities, for the benefit of clients, partners, employees and local economies,” the bank said, adding that both groups would also take on SocGen’s client portfolios and employees in each unit.
Meanwhile, SocGen has launched a strategic review of its 52.34% stake in Union Internationale de Banques, its Tunisian subsidiary, and said it had initiated a nonexclusive process.
“This approach aims to explore possible options that would enable UIB to better realize its development potential in the coming years for the benefit of its shareholders, clients and employees,” SocGen said.