Eurizon, the asset management company of Intesa Sanpaolo, has purchased the individual portfolio management business of Sicily-based Banca Agricola Popolare di Ragusa (BAPR).

Financial terms of the deal have not been revealed.

The purchased unit serves both retail and institutional customers. It was transferred from FinSud SIM, which is BAPR’s brokerage arm.

BAPR will continue to serve the requirement of managed customers under a new distribution agreement signed as part of the deal.

Eurizon CEO Saverio Perissinotto said: “Through this transaction we are initiating a productive cooperation with Banca Agricola Popolare di Ragusa, a dynamic and solid company. Together we will set up a privileged commercial relationship that will allow us to expand our customer base through our wide product offering.”

The transaction builds on Intesa Sanpaolo’s 2018-2021 business plan objectives, under which Eurizon continues to accelerate its asset management sector penetration by means of organic growth and partnerships.

It is also said to be in line with the objectives of the 2019-2021 BAPR’s business plan which focus on identifying economies of scale, scope, and diversification and expanding its commercial offerings, especially in the wealth management space.

Speaking on the transaction, BAPR general manager Saverio Continella said: “On the one hand this completes the process of streamlining costs and organisational efficiency within the Group while on the other it enables us to dynamically continue our investments aimed at strengthening our future strategic positioning.”

In 2018, Eurizon opened a new office in Switzerland as a part of its global expansion programme.