French banks BNP Paribas and BPCE in payments sector tie-up

PARIS, June 13 (Reuters) – BNP Paribas (BNPP.PA), opens new tab, the euro zone’s biggest lender, and French rival BPCE plan to form a joint venture in the payments sector, the two companies said on Thursday.

They will compete against Nexi (NEXII.MI), opens new tab and Worldline (WLN.PA), opens new tab, with the aim of operating the third-biggest payments processor in Europe, the pair said.

The two banks will invest 100 million euros ($107 million) each between 2024 and 2028 in the project, which will take the form of a separate legal entity with its own governance and home-grown technology, said Yves Tyrode, who leads BPCE’s digital & payments unit.