PARIS, Dec 18 (Reuters) - French bank BNP Paribas said it would not proceed with its plan to buy a stake in Belgium's Fortis after the Brussels Court of Appeal decided to suspend the transaction for 65 days.
The bank said in a statement on Thursday that the shareholders' meeting it had scheduled for Friday December 19 would no longer take place.
Belgian newspaper reports earlier in the week had suggested that the French bank may abandon the deal, which was due to be completed this week.
The Brussels court on December 12 suspended the transaction for 65 days and ruled that Fortis shareholders be allowed a say in the breakup of the bank and its takeover by BNP Paribas.
Fortis was carved up by the Dutch, Belgian and Luxembourg governments in October with BNP Paribas planning to buy a majority of the Belgian assets after an 11.2 billion euro ($15.69 billion) cash injection failed to calm nervous investors.
(Reporting by Dominique Vidalon and Helen Massy-Beresford) Keywords: BNP PARIBAS FORTIS/ (helen.beresford@thomsonreuters.com; +33 1 49 49 56 83; Reuters Messaging: helen.beresford.thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2008. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The bank said in a statement on Thursday that the shareholders' meeting it had scheduled for Friday December 19 would no longer take place.
Belgian newspaper reports earlier in the week had suggested that the French bank may abandon the deal, which was due to be completed this week.
The Brussels court on December 12 suspended the transaction for 65 days and ruled that Fortis shareholders be allowed a say in the breakup of the bank and its takeover by BNP Paribas.
Fortis was carved up by the Dutch, Belgian and Luxembourg governments in October with BNP Paribas planning to buy a majority of the Belgian assets after an 11.2 billion euro ($15.69 billion) cash injection failed to calm nervous investors.
(Reporting by Dominique Vidalon and Helen Massy-Beresford) Keywords: BNP PARIBAS FORTIS/ (helen.beresford@thomsonreuters.com; +33 1 49 49 56 83; Reuters Messaging: helen.beresford.thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2008. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.