By Cecilia Butini

Credit Agricole SA said Monday that it has signed a memorandum of understanding with Royal Bank of Canada over a potential acquisition by its asset servicing arm CACEIS of the Canadian bank's investor-services operations in Europe.

Credit Agricole said the transaction, which is expected to happen by the third quarter of 2023, would boost CACEIS's assets with about 4.8 trillion euros ($4.66 trillion) in assets under custody and EUR3.5 trillion in assets under administration.

The acquisition would materialize a return on investment of more than 10% over three years thanks to synergies, according to Credit Agricole. The bank also said the transaction would negatively affect its common equity Tier 1 and group CET1 ratio by less than 10 basis points.

Write to Cecilia Butini at cecilia.butini@wsj.com

(END) Dow Jones Newswires

October 17, 2022 02:24 ET (06:24 GMT)

Copyright (c) 2022 Dow Jones & Company, Inc.
Credit Agricole (EU:ACA)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024 Haga Click aquí para más Gráficas Credit Agricole.
Credit Agricole (EU:ACA)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024 Haga Click aquí para más Gráficas Credit Agricole.