ANNOUNCEMENT 11 May 2020

In May 2020, the French authorities granted a loan guarantee to Castorama France SAS and Brico Dépôt SAS (two brands of the English Kingfisher group ) in order to alleviate the negative consequences of the COVID-19 pandemic. 

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Official Gazzette. Légifrance. "Arrêté du 11 mai 2020 accordant la garantie de l'Etat à un prêt octroyé par les établissements BNP Paribas, Crédit Agricole Corporate and Investment Bank et Crédit Lyonnais à Castorama France SAS et Brico Dépôt SAS en application de l'article 6 de la loi n° 2020-289 du 23 mars 2020 de finances rectificative pour 2020". 12/05/2020. Available at: https://www.legifrance.gouv.fr/eli/arrete/2020/5/11/ECOT2011134A/jo/texte

Le Parisien. "Castorama et Brico Dépôt obtiennent un prêt de 600 millions d'euros garanti par l'Etat". 12/05/2020. Available at: https://www.leparisien.fr/economie/castorama-et-brico-depot-obtiennent-un-pret-de-600-millions-d-euros-garanti-par-l-etat-12-05-2020-8315535.php

Inception date: 11 May 2020 | Removal date: open ended

Loan guarantee

On 11 May 2020, the French authorities granted a loan guarantee to Castorama France SAS and Brico Dépôt SAS, two brands of the Kingfisher group, for the amount of EUR 600 million (approx. USD 650.9 million).

The loans covered by the guarantee were allocated by BNP Paribas, Crédit Agricole Corporate and Investment Bank and Crédit Lyonnais. Moreover, the guarantee covers the principal, interest and accessories, under the conditions set on Law 2020-289 of 23 March 2020 for amending finances during the year 2020, adopted as a response to the COVID-19 pandemic.  

Castorama and Brico Dépot are two brands of Kingfisher group, with headquarters in London, operating in the gardening, decoration and household improvement sectors. Both brands account for more than 200 stores in France, employing approximately 18 000 people in the country.  

A state act in the GTA database is assessed solely in terms of the extent to which its implementation affects foreign commercial interests. On this metric, the investment support granted here is discriminatory.

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