Banque PSA Finance and Santander Consumer Finance launch joint venture operations in Italy under their partnership agreement
- The Italian joint venture is now operational
- Banque PSA Finance has regained full competitiveness in Italy
- Six joint ventures have begun operations in six European countries since early 2015, representing 77% of the scope of the partnership agreement¹
Following the 10 July 2014 announcement that a framework agreement had been signed between Banque PSA Finance and Santander Consumer Finance (SCF and its subsidiaries), the Italian joint venture has obtained approval from local and European regulatory authorities to start operations in early January 2016².
The joint venture will provide wholesale financing to Peugeot, Citroën and DS dealers in Italy, as well as retail financing to the dealers’ customers.
Commenting on the announcement, Jean-Baptiste de Chatillon, Chief Financial Officer of PSA Peugeot Citroën and Chairman of Banque PSA Finance, said: “The partnership is being deployed according to schedule and has already proved to be highly beneficial for the Group. With the start of operations in this new country, Banque PSA Finance will be able to benefit in Italy from more favourable refinancing conditions, improve the Group’s margins, and offer more competitive rates to Peugeot, Citroën and DS customers”
¹ 77% of the total financing under the Banque PSA Finance framework agreement as at 31 December 2014.
² In all, the framework agreement provides for the creation of ten local partnerships and one commercial partnership in Europe. The first two joint ventures were launched in France and the United Kingdom in February 2015 and were followed by another two in Spain and Switzerland on 2 October of the same year. A white label agreement was launched in Portugal in August 2015. A specific framework agreement has been signed in Brazil on 24th July 2015.
