Societe Generale shares are trading higher Friday as the French bank announced the acquisition of energy crowdfunding platform, Lumo. The platform has been used to find renewable energy projects and comes as the French bank confirms its commitment to the renewables industry.
By 1550 BST, Societe Generale shares were 0.79% higher at €36.22. The stock has been trending lower over the course of the past few months.
Societe Generale’s renewables commitment
Lumo is a fintech crowdfunding business based in France, that has been used to fund numerous renewable energy projects in the country. They include solar, wind and hydroelectric projects to power up to 100,000 households.
“Societe Generale has been serving the needs of energy players and renewable energy developers for over 10 years,” said Jérôme Deflesselles, Head of Renewable Energy for Europe at Societe Generale.
“This is a strategic acquisition that allows us to offer our clients an effective solution while rounding out our advisory services and arrangement offering,” he added.
The French Bank adds that it is “already fully committed to the renewables energy sector” and said it plans to raise €100 billion to finance the energy transition.
The bank is also targeting a 25% reduction in carbon dioxide emissions per employee by 2020, compared to 2014.
Lumo positive on deal
The French crowdfunding platform is also upbeat on the deal and Lumo’s CEO and co-founder, will remain in place with the same duties he currently has.
“This acquisition is a clear recognition of the relevance of our model. We are very excited about joining the Societe Generale Group and exposing Lumo to the bank’s expertise that will take it to a new level in its development strategy,” Raguet said.
“We will also be able to meet our goal to develop useful and tangible projects that have a positive impact on our environment,” he added.