CREDIT AGRICOLE

Crédit Agricole, through LCL and Crédit Agricole Assurances, has completed the acquisition of Milleis Group from AnaCap. The deal allows the group to strengthen its wealth management presence and reinforce a higher-value-added business, in a European banking environment still viewed as solid despite a more mixed market backdrop. The acquisition is likely to be well received strategically, as it broadens the client base and supports the group’s development ambitions in private banking. The stock market impact should remain moderately positive, even if the immediate effect on earnings will depend on operational integration and the synergies generated.

Crédit Agricole reported a robust first quarter 2026, with revenue up 0.9% to EUR 6.994 billion and net income, group share, rising 1.8% to EUR 1.676 billion. The group highlighted healthy momentum across its businesses and improved operating efficiency, despite a higher cost of risk linked to a more turbulent market environment. Separately, the bank announced the early redemption of several debt issues, including GBP AT1 bonds and senior non-preferred securities, underscoring active balance sheet and liability management. Overall, the announcements are mildly positive for the stock, even if the higher cost of risk suggests the macro backdrop still warrants close monitoring.

Crédit Agricole has initiated a buyback of nearly 23 million shares to offset dilution from the 2025 employee capital increase. These shares will subsequently be cancelled, potentially supporting the stock price in the medium term. The modest 0.48% rise reflects a neutral market response, indicating investors are waiting to see the tangible impact of this move.