The French bank is still looking to acquire 75% of Fortis' Belgian and Luxembourgish banking operations and, in exchange, would provide Fortis with an 11.4% stake in BNP Paribas.

However, under the new agreement, BNP Paribas will now look to purchase 25% of Fortis' insurance business, up from 10% previously, for €1.38 billion.

Furthermore, BNP Paribas will pay €200 million into a shell company to hold Fortis' risky assets and bad loans. For its part, Fortis will pay €760 million to the company, while the Belgian government is to contribute €740 million, as well as guarantee up to €1.5 billion on losses of more than €3.5 billion on current Fortis loans.

Written by CEP News European Staff, This email address is being protected from spam bots, you need Javascript enabled to view it , edited by Stephen Huebl, This email address is being protected from spam bots, you need Javascript enabled to view it

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