HSBC has been exploring the sale of various businesses in Europe’s largest economy
BNP Paribas has signed an agreement with HSBC Holdings to buy the UK-based lender’s private banking operations in Germany, according to a statement on Monday (Sep 23).
Adding the unit will take assets under management in BNP Paribas’ local wealth management business to more than 40 billion euros (S$57.3 billion), it said in the statement. BNP Paribas didn’t disclose the sale amount.
HSBC has been exploring the sale of various businesses in Europe’s largest economy, Bloomberg reported in April. Bloomberg reported BNP Paribas’ interest in the wealth management unit in July.
The deal comes just a few months after ABN Amro Bank NV bought German lender Hauck & Aufhäuser Lampe Privatbank AG for 672 million euros, expanding the Dutch company’s reach in wealth management.
A large number of family-owned businesses is driving demand for wealth services in Germany, with domestic lenders including Deutsche Bank and Commerzbank seeking growth in private banking too. BLOOMBERG