BNP Paribas has reportedly agreed with the governments of Belgium and Luxembourg to take control of the key remaining assets of troubled financial group Fortis.
Belgian media reported that the French banking group would take 75% of Fortis Bank Belgium and 67% of Fortis Bank Luxembourg in a share swap with the two governments, which would get stakes in BNP Paribas.
The deal, which was not immediately confirmed by any of the parties, would be the most spectacular cross-border rescue since the US-born credit crisis swept into Europe last month, upending five banks and rattling savers' confidence.
The Belgian and Luxembourg governments would keep blocking minorities of 25% and 33% respectively in the Fortis banks in their countries, media reports said.
Media reports also said the Belgian government would get a 10% stake in BNP Paribas, worth €6.5 billion at Friday's closing price, and Luxembourg would take 1.4%.
BNP Paribas would also take over Fortis Insurance Belgium and Fortis Investments, the wealth management arm of the group.
BNP Paribas had no immediate comment and there was no confirmation from either government.
