Plans by the French government to divide its remaining 10% stake in Crédit Lyonnais between Crédit Agricole and Allianz, are likely to prompt Société Générale to increase its stake in Crédit Lyonnais, according to French banking analysts.

SocGen, which has been left exposed since it lost its bid for Paribas in 1999, could even try to line up a bid for Crédit Lyonnais next year.