EFG International has sold its remaining interest in hedge fund manager Marble Bar Asset Management, as the group continues to implement its strategy of focussing on its core private banking business.
The bank will sell its remaining interest to MBAM’s senior managers for CHF28.8m ($31.6m), having sold its equity back to the firm’s management in July 2010.
EFG said the sale would result in a net gain of CHF7m in the group’s accounts, and was expected to be completed in the second quarter of this year.
The bank is seeking buyers for all or part of its French business and intends to float its structured investment products business, EFG Financial Products, later on in the year.
This year EFG has already sold EFG Bank Denmark to SEB Wealth Management, closed offices in Sion and Lugano and sold SIF Swiss Investment Funds to Crédit Agricole’s CACEIS.
In October 2011 the group announced plans to cut staff numbers by 10-15% over the following 18 months, to reduce its locations and to focus on its core competency of private banking.
As Private Banker International reported at the time, EFG aims to grow its net new money by 5-10% per annum, while reducing its cost-to-income ratio to below 75% over the next three years.
The change in strategy followed the stepping down in June 2011 of founder and CEO Lonnie Howell, after the group had issued a profit warning, having been hit by the strength of the Swiss Franc.
John Williamson stepped up from leading its UK and Channel Islands business to take on the role and immediately ordered a strategic review of the business.