BNP Paribas denies capital increase plan

French bank BNP Paribas on Wednesday denied what it called "speculative rumors" that it was mulling a capital increase in order to bolster its ratio of ownership equity.

"BNP Paribas recalls that its ratios fully satisfy the demands of the regulator, in light of its risk profile," the bank said in a statement.

"As a consequence, the only capital increases planned by BNP Paribas are those that will allow it to make the antidilutive purchase of the activities of Fortis Bank," it added. "No other capital increase is being studied."

BNP Paribas paid euro14.5 billion ($18.3 billion) for a 75 percent stake of Fortis' Belgian banking operations and all of Fortis Insurance Belgium.

Fortis agreed to the buyout on Oct. 5, one week after a multibillion euro (dollar) bailout by the governments of Belgium, Netherlands and Luxembourg had failed to save the troubled lender.

Shares in BNP Paribas closed down 11.2 percent at euro36.24 euros on Wednesday.

Back To Top

	EU clears state guarantees for Fortis, Dexia	Associated Press	Thu Nov 20	0
	Troubled Fortis to pay new CEO euro800,000	Associated Press	Tue Nov 18	0