The Bank of London is set to reduce its workforce by nearly 15%, equating to about 20 employees, including executives, as part of a restructuring initiative following a £42 million fundraising last month. This move comes as investors, including Harvey Schwartz and Lord Peter Mandelson, pressured the bank for operational changes before committing their funds. The bank had previously indicated an 'immediate' need for regulatory capital in July, which prompted these fundraising efforts. In a notable development, Anthony Watson, the founder and CEO of the Bank of London, stepped down earlier this month amid these changes. [7639de0c]
In a broader context, BNP Paribas CEO Jean-Laurent Bonnafe has called on the European Central Bank (ECB) to quickly ease monetary policy to protect the euro-area economy. Bonnafe emphasized the need for reduced interest rates, citing Europe's greater economic impact compared to the U.S., particularly in Germany. BNP Paribas aims to expedite its green initiatives by increasing its share of low-carbon energy production loans to 80% by 2026. [01cbf9d5]
In line with its cost-cutting efforts, BNP Paribas is planning to cut 50 roles across its unit in the UK. The bank has started consultations with the employees and is working to offer them different roles within the organization. CEO Jean-Laurent Bonnafe is seeking €400 million in cost savings. Lower expenses helped lift the bank's profit above analysts' expectations in Q1. The bank attributed the decline in trading to a strong performance a year earlier and its bias toward Europe, which was more impacted by lower volatility. [191ae74f]
Italy's Benetton family is preparing to address mounting losses at its clothing retailer, including parting ways with CEO Massimo Renon after four years. The board of the clothing group is expected to meet on Tuesday to discuss a net loss of around 230 million euros ($250 million) for 2023. Benetton shareholders are then scheduled to meet on June 18, at which time Renon's CEO mandate will not be renewed. The Benettons own the clothing group made famous by its colourful jumpers and provocative advertising campaigns. Edizione, the Benetton's holding company, is preparing to back a restructuring of the clothing retailer and inject 260 million euros. Benetton has struggled to withstand growing competition from fast-fashion giants such as Zara owner Inditex. Chairman Luciano Benetton said the group had been expected to break even in 2023 under a three-year strategic plan, but a worse than expected financial situation had emerged in recent months. [adafebc3]
Groupe BPCE has revealed its 2030 vision, which aims for stronger growth and increased efficiency. Stéphanie Paix, CEO of Groupe BPCE's global financial services division, leads Natixis Corporate and Investment Banking and Natixis Investment Managers. The strategy was announced despite French President Emmanuel Macron's unexpected decision to call parliamentary elections. The vision emphasizes ambition and transformation. To achieve its goals, Groupe BPCE plans to focus on digitalization, sustainability, and innovation. The bank aims to meet client needs by providing tailored solutions and leveraging its expertise in ESG and sustainable finance. Natixis is committed to its strategy and aims to be a trusted partner for its clients. [76c3699b]