Societe Generale, France's third-biggest bank by assets, has signed an agreement to acquire Bank of America's structured investments business. The deal will see SG expand its equity derivatives division in the US.
The agreement includes certain proprietary technology related to the business. In addition, SG has agreed to arrange for the transfer of client financing transactions and related assets, including structured products linked to alternative investment funds.
Bank of America’s structured investments sales, marketing and support staff will join SG’s equity derivatives platform in both New York and London. Bank of America will work with SG over the next 90 days to ensure a successful transition.
The transaction does not include Bank of America’s other equity structured products businesses.
This deal delivers a triple benefit to us, stated Christophe Mianné, global head of SG CIB’s Equity Derivatives Group. It diversifies our portfolio of structured alternative investment products, it enlarges our US customer base and it gives us the opportunity to integrate an expert team, which will widen our distribution capability to US institutions. Together we will have a US equity derivatives platform with over 100 front office staff.