Orange and Groupama have finalised a deal that will see a mobile banking service launch in France, Spain and Belgium.
As trailed in January the operator will take a 65 percent stake in Groupama Banque, on whose infrastructure platform Orange Bank is based.
The transaction is expected to close in Q3 following regulatory approval.
The two companies also revealed that they are aiming to attract over two million customers in France, where the service will debut early next year.
Specifically, they plan to offer current accounts, savings, loans and insurance services, as well as payment.
Although the company will be called Orange Bank, it will be marketed under the Groupama brand within its distribution networks.
Groupama CEO Thierry Martel said: “We are aiming to put the high street bank into our customers’ pockets.”
At Mobile World Congress in February, Orange executive Laurent Paillassot claimed the bank had a window of five to seven years before rivals could offer a similar service.
Stéphane Richard, Chairman and Chief Executive Officer of Orange, said: “This agreement is a major step forward in our ambition to diversify into mobile financial services as we outlined in our Essentials2020 strategy.
“Groupama Banque will bring an existing banking structure as well as considerable experience in managing customer relations remotely within a banking context.
“This will enable us to move forward rapidly in order to provide our customers with an innovative, 100% mobile banking service, first in France and then in Spain and Belgium.
“By leveraging the power of its brand, its distribution network and its extensive experience in digital services, Orange aims to bring mobile banking into a new dimension.”