BGL BNP Paribas, the Luxembourg subsidiary of French financial group BNP Paribas, and Dutch financial group ABN Amro have reached an agreement for the full acquisition by BGL BNP Paribas of ABN Amro Bank (Luxembourg) and its arm ABN Amro Life.
It is understood BGL BNP Paribas will transfer ABN Amro Life’s activities to Cardif Lux Vie in the aftermath of the transaction, which is subject to regulatory approval and expected to close by Q3 2018.
Pieter Van Mierlo, chief executive officer private banking of ABN Amro Bank, said: “We are a leading player in private banking in North-West Europe and are currently investing in, and further integrating, our activities across our core markets, to realise benefits of scale.
“The wealth management market is fast changing and consolidating further as scale becomes more important in order to invest in staff and systems needed to provide optimal services to our clients. In Luxembourg, we do not see possibilities to increase to the scale necessary. We concluded the transfer of our wealth management and insurance activities in Luxembourg to BGL BNP Paribas would be in the best interest of our clients.”
Carlo Thill, head of BNP Paribas in Luxembourg and chairman of the management board of BGL BNP Paribas as well as chairman of the board of directors of Cardif Lux Vie: “This acquisition will reinforce the key positions that BNP Paribas in Luxembourg holds in the wealth management and in the insurance market. We want to play an active and responsible role in the consolidation process that is currently taking place in this sector.
BNP Paribas Wealth Management’s assets under management totalled €364bn as of 31 December 2017.