French banking giant Société Générale has announced it will float its vehicle leasing arm, ALD Automotive, on the stock market later this year.
The move, which was announced in the company's 2016 Annual Report, will see the bank retain a majority stake in what is currently the most profitable part of its business.
In the statement, Société Générale said: "The stock market floatation will open up new opportunities for it [ALD] to accelerate its expansion through new sales channels and partnerships, providing it with the capa Societe Generale considers ALD as a high added value business with substantial commercial and financial synergies within the Group.
"Its future growth, bolstered by the stock market floatation, will continue to create value for the Group. Societe Generale will retain control of ALD and continue to actively support its subsidiary’s growth strategy in the development of commercial relations."
Société Générale says ALD manages nearly 1.4 million vehicles with a geographical coverage spanning 41 countries.