BNP Paribas to acquire HSBC’s private banking division in Germany
BNP Paribas has inked an agreement to purchase HSBC’s private banking operations in Germany.
BNP Paribas to acquire HSBC’s German wealth management operations
The proposed transaction is set to close in H2 2025, and if successful, will see the segment merged into BNP Paribas’ regional wealth management division with combined assets under management of over €40 billion.
Furthermore financial terms of the deal have not been disclosed.
The Paris-headquartered banking group describes Germany as a “key geography” with “strong growth potential for wealth management activities”.
It will aim to realise this growth potential with a “comprehensive service offering”, including investment and corporate banking, and asset management services, with a specific focus on servicing high-net-worth and ultra-high-net-worth individuals.
“The further development of our wealth management franchise is an integral part of our growth plan within the German economy,” states Lutz Diederichs, CEO of BNP Paribas Germany.
The proposed deal follows BNP Paribas’ €5.4 billion acquisition of AXA’s asset management arm, AXA Investment Managers (AXA IM), which was announced last month.
“Wealth management in Germany serves as an entry portal for our clients into the entire portfolio of services of the BNP Paribas Group, in particular in corporate and institutional banking, real estate, asset management and securities services,” adds Diederichs.
HSBC previously sold its French retail banking arm to Crédit Commercial de France in January and also sold its Argentine banking operations to Grupo Financiero Galicia in April. Reports in August also suggested HSBC is considering the sale of its South African business.
