Milan-based Fideuram Intesa San Paolo Private Banking will acquire a 69% interest in Swiss financial advisory firm Reyl.
As part of the deal, the two companies will enter into a long-term partnership which will see the Italian business contribute its Swiss private banking subsidiary, Intesa San Paolo Private Bank Morval (ISPBM), to the advice firm.
This means that, once the deal is finalised, ISPBM will merge with Reyl creating an international private banking group with around 400 employees and over CHF18bn (£15.2bn, $19.6bn, €16.6bn) in assets under management.
The private bank will have a presence in the EU, Latin America, Middle East and Far East.
The transaction is subject to regulatory approval and is expected to be completed by the first half of 2021.
The financial terms of the deal were not disclosed.
‘New international player’
Tommaso Corcos, chief executive of Fideuram, 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.”
François Reyl, chief executive of Reyl, added: “Fideuram is the ideal partner for Reyl and we cannot be more pleased to have the opportunity to build together a leading new international private banking player, operating from Switzerland yet with global ambitions.
“The combination of nimbleness and scale driven by a shared entrepreneurial vision creates the perfect conditions to achieve success in the current environment.”