Regulatory News:
Following exclusive negotiations entered into on February 19th 2014, PSA Peugeot Citroën (Paris:UG) and Banque PSA Finance are pleased to announce the signing of a binding Framework Agreement with Santander Consumer Finance ("Santander CF"), the consumer finance division of Banco Santander, which will establish a partnership between the two groups in 11 countries1. The relevant PSA Peugeot Citroën and Banque PSA works councils issued a favourable opinion on the transaction.
The partnership between Banque PSA Finance, the auto finance company of PSA Peugeot Citroën, and Santander CF, will take the form of dedicated local partnerships in most countries, or, in some jurisdictions, of commercial agreements.
This partnership is subject to the approval of competent competition authorities as well as the banking regulatory authorities in the main European countries. The closing of the 11 transactions would then be expected to occur in the course of 2015 and in early 2016. The contemplated scope of the transaction would cover approximately 90% of Banque PSA Finance's current activities. The partnership would enhance commercial capabilities for PSA Peugeot Citroën's brands enabling them to increase their penetration of the car finance market. It would also create a sustainable and dynamic captive financing activity with competitive offers dedicated to PSA Peugeot Citroën's brands and customers. By 2018, this partnership should result in a positive cash impact of up to €1.5bn for PSA Peugeot Citroën.
Commenting on this announcement, Jean-Baptiste de Chatillon, Finance Director of PSA Peugeot Citroën and President of Banque PSA Finance, declared: "I am pleased to confirm this partnership with Santander Consumer Finance, the European leader of consumer finance. It will boost the competitiveness in Europe of our brands, Peugeot, Citroën and DS".
About PSA Peugeot Citroën
With its three world-renowned brands, Peugeot, Citroën and DS, PSA Peugeot Citroën sold 2.8 million vehicles worldwide in 2013, of which 42% outside Europe. The second largest carmaker in Europe, PSA Peugeot Citroën recorded sales and revenue of €54 billion in 2013. The Group is the European leader in low-carbon vehicles, with average emissions of 115.9 grams of CO2 per km in 2013. PSA Peugeot Citroën has sales operations in 160 countries. It is also involved in financing activities (Banque PSA Finance) and automotive equipment (Faurecia).
For more information, please visit psa-peugeot-citroen.com.
1 I France, Spain, Italy, Portugal, Switzerland , Netherlands, Belgium, Germany, UK, Austria, Poland
Contacts:
PSA Peugeot Citroën
Media Relations
Jean-Baptiste Thomas, +33 1 40 66 47 59
jean-baptiste.thomas@mpsa.com
Pierre-Olivier Salmon, +33 1 40 66 49 94
pierreolivier.salmon@mpsa.com
Antonia Krpina, +33 1 40 66 48 02
antonia.krpina@mpsa.com
Laure de Servigny, +33 1 40 66 35 42
laure.deservigny@mpsa.com
Caroline Brugier-Corbière, +33 1 40 66 58 54
caroline.brugier-corbiere@mpsa.com
or
Investors Relations
Carole Dupont-Pietri, +33 1 40 66 42 59
carole.dupont-pietri@mpsa.com
Anne-Laure Descleves, +33 1 40 66 43 65
annelaure.descleves@mpsa.com
Karine Douet, +33 1 40 66 57 45
karine.douet@mpsa.com