Orange in talks with Groupama to launch mobile bank

Orange has entered into exclusive talks with French insurance company Groupama to acquire a 65% stake in its banking unit.

The operator plans to start providing mobile banking services in early 2017 in France, followed by other European markets such as Belgium and Spain. The services will cover all standard banking services such as savings, loans and insurance. 

Stephane Richard, chairman and CEO of Orange, has emphasised the group’s ambition to diversify its operations by capitalising on its assets, in particular focussing its efforts on mobile banking. Orange aims to reach €400 million of revenues in financial services in 2018.

“This legitimacy in the world of financial services has already materialised with the success of ‘Orange Money’ in the Middle East and Africa region, and more recently with the successful launch of ‘Orange Finanse’ in Poland,” said Richard. 

“Our partnership with Groupama, which has recognised expertise and key assets in the areas of both banking and insurance, will enable us to accelerate the implementation of our strategic ambition to be able to offer our customers Orange Bank services in France from the beginning of 2017,” he added.