The deal will also see Intesa Sanpaolo’s Fideuram - ISP PB merge its Swiss bank subsidiary with REYL & Cie
Fideuram – Intesa Sanpaolo Private Banking (Fideuram – ISP PB) has agreed to acquire a 69% stake in Swiss private bank REYL & Cie for an undisclosed price.
As part of the deal, Fideuram – ISP PB will merge its fully-owned Swiss bank subsidiary Intesa Sanpaolo Private Bank (Suisse) Morval (ISPBM) with REYL & Cie.
Fideuram – ISP PB is the private bank division of Italian banking major Intesa Sanpaolo Group.
The merger of ISPBM and REYL is expected to create a sizeable international private banking group based in Geneva, Switzerland.
It will have nearly 400 employees, assets under management of more than CHF18bn ($19.67bn) and regulatory shareholders’ equity of around CHF250m ($273.2m).
Apart from Switzerland, the expanded REYL & Cie bank will have operations across the European Union, Latin America, the Middle East, and also in the Far East.
How the partnership with REYL & Cie will help Fideuram – ISP PB
Fideuram – ISP PB CEO Tommaso Corcos said: “The strategic partnership with REYL confirms the Intesa Sanpaolo Group’s strategy, which has long been focused on building a Wealth Management & Protection Company.
“It also fits within the broader process of strengthening and repositioning of our Private Banking Division’s foreign activities, especially in Switzerland, the leading market for international activities.
“Following the acquisition of the Morval Group in 2018, this transaction allows us to focus more decisively on this growing sector, which is resilient to crises and subject to an ongoing consolidation process.”
Through the partnership, Fideuram – ISP PB expects to bolster its international private banking activities, particularly in promising growth areas.
The transaction is also said to confirm the selection of Switzerland as the base for the global private banking activities of Fideuram – ISP PB.
Through its domestic private banking presence and overall financial strength, Fideuram – ISP PB is said to give a strong cultural fit and multiple growth catalysts to REYL & Cie.
REYL & Cie CEO François Reyl said: “We found in Fideuram – ISP PB not only a strong strategic fit, but also a partner with an acute understanding of the entrepreneurial world and highly compatible values that place human considerations at the heart of all corporate initiatives.
“The combination of nimbleness and scale driven by a shared entrepreneurial vision creates the perfect conditions to achieve success in the current environment.”
The closing of the deal is subject to receipt of customary regulatory approvals and is likely to occur within the first half of next year.