In April 1 559 Granvella was one of the Spanish commissioners who arranged the peace of Cateau Cambresis, and on Philip's withdrawal from the Netherlands in August of the same year he was appointed prime minister to the regent, Margaret of Parma.
And Philip II., which ended in the much-discussed treaty of Cateau-Cambresis.
By his victory at St Quentin over the French in 1557 he proved himself one of the first generals of the day, and by the terms of the subsequent treaty of Cateau Cambresis he was reinstated in most of his hereditary possessions (1559).
France was for a time beaten at the battles of St Quentin and Gravelines, and forced to make the Peace of Cateau Cambresis (April 2, 1 559).
He was not released at the peace of Cateau Cambresis for lack of money to pay his ransom, but he was finally set free on giving his bond for the amount, an engagement which he repudiated as soon as he was safely in England.
He left France in 1557, but in 1558 he was again in that country, helping to arrange the preliminaries of the treaty of Cateau Cambrhsis.
Occupied from 1553 to 1559 by the French, it again fell to the Genoese after the treaty of Cateau Cambresis in the latter year.
At last in 1558 the powers agreed to an armistice, and in 1559 the peace of Cateau-Cambresis was made, by which Emmanuel regained his duchy, but on onerous terms, for France was to occupy several Piedmontese fortresses, including Turin and Pinerolo, for not more than three years, and a marriage was arranged between the duke and Margaret, duchess of Berry, sister of the French king; while Spain was to garrison Asti and Vercelli (afterwards exchanged for Santhia) until France evacuated the above-mentioned fortresses.