BRUSSELS (Reuters) – EU competition enforcers on Thursday cleared a 20-billion-euro ($24 billion) French scheme to help virus-hit companies via loans, subordinated debt.
The European Commission said the scheme consists of a state guarantee on private investment vehicles, funded by private investors, that will acquire participating loans distributed by commercial banks as well as subordinated bonds, aimed at improving their capital position.
The French state guarantee will cover up to 30% of loans and subordinated bonds to be acquired by private investment vehicles and that these must be issued before June 30, 2022 with a maturity of 8 years.
($1 = 0.8294 euros)
(Reporting by Foo Yun Chee)
