Indosuez Wealth Management has announced an agreement with a view to acquiring a majority stake in Bank Degroof Petercam and a long-term partnership with CLdN, one of its core shareholders.
Indosuez Wealth Management Group, a subsidiary of the Crédit Agricole group, on Friday 4th August revealed that it has signed the agreement to acquire a majority stake in Degroof Petercam, a Belgium-based wealth management institution with an international presence and client base.
The proposed acquisition is being carried out in partnership with the CLdN group, Degroof Petercam’s core shareholder, which will retain a stake of around 20%, “reflecting the desire to preserve its roots and domestic presence in Belgium, in line with the Crédit Agricole group’s partnership culture”, said CFM Indosuez in a statement.
Degroof Petercam is an independent family group whose origins go back more than 150 years. It is a diversified bank with client assets totalling 71 billion euros.
The group has positions in Belgium, Luxembourg and France in private banking, and internationally in asset management, investment banking and asset services.
According to CFM Indosuez, over the past few years, in line with its raison d’être of creating collective and responsible prosperity, the bank has strengthened its risk control and management procedures, particularly in terms of compliance, and has made major investments in its operating systems.
“We are delighted to have reached this agreement with the shareholders of Degroof Petercam, a long-standing leader in wealth management,” says Jacques Prost, Chief Executive Officer of Indosuez Wealth Management. “This proposed alliance will be an important step in our development in Europe, in line with our strategic plan, and will make Belgium our second domestic market. We look forward to working with the Degroof Petercam team.”
Indosuez Wealth Management Group says it will work closely with Degroof Petercam teams to facilitate the transaction for the benefit of clients and employees.
Completion of the agreement between CA Indosuez Wealth (Europe) and Degroof Petercam is subject to the approval from the relevant regulatory and competition authorities. The transaction is expected to be completed in 2024.
Following the acquisition of a majority stake, a Voluntary tender offer will be launched with Degroof Petercam’s minority shareholders, with the intention for CA Indosuez Wealth (Europe) to acquire the remaining capital on the same terms as those for the acquisition of the majority stake.
“The proposed alliance with Indosuez Wealth Management will provide us with a stable shareholder, backed by a leading global player,” says Hugo Lasat, CEO of Degroof Petercam. “It is also a solid strategic partner who will support the Degroof Petercam brand and who knows our activities inside out. This project will enable us to benefit from the strength of an organisation such as the Indosuez Group, while retaining our agility and entrepreneurial spirit in the interests of our clients.”
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