BGL BNP Paribas, a subsidiary of BNP Paribas Group, has completed its previously announced acquisition of ABN AMRO Bank (Luxembourg), a subsidiary of Dutch bank ABN AMRO, for an undisclosed price.
Image: BGL BNP Paribas, a part of the BNP Paribas Group, closed its acquisition of ABN AMRO Bank (Luxembourg). Photo: courtesy of BNP Paribas.
As part of the transaction, BGL BNP Paribas also acquired ABN AMRO Life, a 100% owned subsidiary of ABN AMRO Bank (Luxembourg), whose activities will be transferred to Cardif Lux Vie.
The parties had signed a definitive agreement in February 2018.
BGL BNP Paribas executive committee chairman Geoffroy Bazin said: “We are delighted that this major acquisition was successfully finalised within the agreed timeframe.
“The decision to further secure our Group’s footing in the private banking and insurance sectors in Luxembourg reflects our determination to play an active role in the development of the country’s financial sector.”
According to ABN AMRO Bank private banking CEO Pieter van Mierlo, the Dutch banking firm went ahead with the sale as it did not see possibilities of becoming a leading player in wealth management market in Luxembourg.
It came to the conclusion that the transfer of its wealth management and insurance operations in Luxembourg to BGL BNP Paribas was going to be in the best interest of its clients.
For BGL BNP Paribas, the acquisition is expected to strengthen the key positions its parent company holds in Luxembourg as far as wealth management and the insurance market are concerned.
Further, the acquisition of ABN AMRO Bank (Luxembourg) is part of BNP Paribas’s growth strategy while enabling it to consolidate its role as a growing player in Luxembourg and also in the expanding global wealth market.
BNP Paribas Wealth Management co-CEO Vincent Lecomte said: “Amid the consolidation of the private banking market, this acquisition (representing EUR 5.6 billion in assets under management) allows us to strengthen our position in Luxembourg in the big European entrepreneurs segment, and enables us to create synergies.
“We will thus be expanding the range of services so that this new client base can access our unique solutions – in particular private equity, asset management mandates and financing – and draw upon the Group’s expertise in investment banking and real estate.”