Crédit Agricole decide vender Credit du Maroc a Holmarcom
The French bank Crédit Agricole has just signed an agreement with the Holmarcom Group for the sale of Crédit du Maroc, one of its subsidiaries in Morocco. From now on, the bank will become part of the business company. The banking institution has agreed with the Moroccan firm to sell 78.7% of its Maghreb subsidiary.
This sale is a very beneficial acquisition for Holmarcom. Acquiring this bank is part of the company's ambitious strategic vision of building a financial hub. In addition to increasing the strength of its balance sheet, as well as the influence of its weight as an economic player in the Kingdom, it intends to establish a pan-African union.
This will be done by bringing together businesses and financial experts. It is envisaged that they will generate synergies on the African continent to develop a community dedicated to business.
Crédit Agricole has not disclosed the financial terms of the sale. However, it has assured that Crédit du Maroc will benefit from this transfer. Its acquisition promises to have a positive impact of around ten basis points on its Tier 1 capital ratio.
Holmarcom has announced that it will follow the legislation currently in force in Morocco and that the acquisition will therefore be divided into two phases. When these are completed, the sale of Crédit du Maroc will be effective, but first they will have to have the regulatory approvals to start operating.
The first phase will be divided into the acquisition of 63.7% of the Moroccan bank. Holmarcom will own 50.9%, while AtlantaSanad Assurance, one of its subsidiaries, will get 12.8%. Then, with the second phase, Crédit Agricole will sell the remaining 15% of its shares in the institution. This will take place 18 months after the completion of the first phase.
Holmarcom will thus hold 78,7 % of the capital of Crédit du Maroc. It will thus control the decisions taken within the group, as it will become the bank's majority shareholder from the date of the full sale onwards.
The French bank has also announced that it will continue to support Crédit du Maroc during this transition. The bank assures that it can thus continue to guarantee the continuity of the services offered by the group to the Moroccan population, and that they will not have any problems in requesting the services provided. In this way, it aims to contribute to full integration with Holmarcom by facilitating any type of procedure that may be required.
In 2019, Holmarcom carried out a structural reorganisation of its group in order to create this business union in Africa. In this way, the company would ensure the continued development of its objectives and the diversification of its financial business. Also, thanks to the acquisition of other banking groups, they can accelerate the expansion they want to achieve in Africa.
Crédit Agricole is one of the most promising players in the Moroccan economy. One of the latest moves it has made in Morocco was to provide aid to the agricultural sector following the effects of one of the worst droughts in decades. The banking group has provided 6 billion dirhams to workers in this sector to enable them to continue their work.
Farmers and herders have been the main beneficiaries of this assistance. The money has been distributed through a programme that seeks to protect the Kingdom's animal and plant capital, manage water scarcity, generate agricultural insurance and help with the financial burdens of drought mitigation.
This plan has also been largely developed by the government of Aziz Akhannouch. It has helped through a management that has tried to improve the situation with protection measures and water rationing until the rains arrive. King Mohammed VI has also been involved in helping his people by mobilising 10 billion dirhams to combat the effects of the drought