Orange bank seeks to be bought after its crisis

The Orange bank could not assume the sum 643 million of losses entailed at the beginning of its activity in the year 2017. The bank that believed to be a neo-bank, diverse from a Revoulut by the agreement to the stores and stores of the maker in case of needs, had a defeat to recover. Last year, this bank lost 195 million euros.

The origins of the crisis

As it is to note the health of Orange Bank has never been in the green. And repeatedly, its figures, its missions, its goals and its communication have always shown it. Stéphane Richard, the boss of this bank, explains in a satirical newspaper that this project was not created with the idea of being a banker. But on the contrary to show his innovative abilities. This innovative ability came at a price.
Statistics show that in four years the bank spent a sum of 643 million euros. It was not able to get closer to profitability and was showing an additional 195 million euro loss in 2020. France's number 1 bank, Boursorama had a reported hole in 2019 of 50 million euros. Nevertheless, these actions are now costing it the goal of profitability in two years with 4.5 million customers to support.

Resolutions after the crisis

According to Les Echos, BNP Paribas, Crédit Agricole and Société Générale each have their own online banking offer such as Hello Bank, Bfor Bank and Boursorama Banque. Thanks to a competent re-takeover of Orange Bank, it is pending whether customers will redirect to their respective online banking solution. According to the report and information from Les Echos, Orange would have chosen the investment bank Barclays to conduct the takeover business and the Spanish bank Santander could be interested