MILAN (Reuters) - Dexia Crediop, the Italian public financing arm of bailed-out Franco-Belgian bank Dexia (DEXI.BR), will soon be put up for sale, a source close to the matter told Reuters on Wednesday.
“Dexia Crediop was up for sale before the group’s recent events, and it will soon be put up for sale again,” the source said.
“(Dexia’s Chief Executive Pierre) Mariani right now has other priorities but once those are dealt with, he’ll turn to selling Crediop shortly.”
Dexia agreed on Monday to the nationalization of its Belgian banking division and secured state guarantees from Belgium, France and Luxembourg of up to 90 billion euros to secure borrowing over the next 10-years.
Dexia Crediop is 70 percent owned by Dexia while Italian cooperative banks Banco Popolare BAPO.MI, Banca Popolare di Milano PMII.MI and Banca Popolare dell’Emilia Romagna (EMII.MI) each hold a 10 percent stake.
Dexia Crediop specializes in providing financing to public entities.
“It is a specialized bank and it may find a buyer in its specialized sector,” the source said.
Reporting by Luca Trogni; editing by Paola Arosio