The transfer was supported by existing collaboration between BNP Paribas and Deutsche Bank, along with support from their management teams
Deutsche trading floor. (Credit: Mario Andreya/Deutsche Bank AG.)
BNP Paribas has completed the transfer of clients, technology and key employees from Deutsche Bank’s Global Prime Finance and Electronic Equities business to it.
The integration builds on collaboration between BNP Paribas and Deutsche Bank, along with support from the management teams at both companies.
BNP Paribas said that in the last two years, it has transferred around 900 employees from Deutsche Bank.
Deutsche Bank management board member and chief transformation officer Rebecca Short said: “We are pleased to have completed this complex transition on schedule.
“It is the result of strong and sustained collaboration between both teams who worked seamlessly to provide continuity to clients as well as a significant number of employees.
“With this, Deutsche Bank has achieved a key milestone in its ongoing transformation that is seeing it re-focus its business to become sustainably profitable.”
In July 2019, BNP Paribas initially agreed to transfer Deutsche Bank’s clients after the German bank announced its exit from the equities sales and trading and prime finance.
In November 2019, the two European banks have secured the approval for their agreement and announced that the deal is unconditional.
Under the transaction, it was estimated to around $200bn of assets was expected to move to BNP Paribas as part of the deal.
In November last year, Credit Suisse signed a referral agreement with BNP Paribas to support its Prime Services and Derivatives Clearing customers.
The bank has agreed to help the customers with the selection of alternative providers, to ensure easy migration of the business, as BNP Paribas plans to exit from the business.
BNP Paribas executive committee member and global markets head Olivier Osty said: “We are delighted to have completed this global migration on schedule.
“By leveraging the strengths of the integrated platform, BNP Paribas is well-positioned to become the leading European Prime Services player on the global stage, establishing the new standard in prime services and electronic equities for institutional investors and corporate clients across the world.”
Recently, Germany’s federal financial supervisory authority (BaFin) has fined Deutsche Bank €8.66m ($9.8m), over violation of the European Benchmarks Regulation (BMR) of 2018.
The bank has failed to effectively control the Euribor, a reference rate based on the average interest rates at which large European banks borrow funds from one another.