Indosuez Wealth Management, the private banking unit of Credit Agricole, has agreed to acquire the Singapore and Hong Kong private banking businesses of Credit Industriel et Commercial (CIC) for an undisclosed sum.
The acquisition will increase Indosuez’s assets under management to $14bn in Asia. However, it will have a negative effect of less than two basis points on the common equity tier 1 ratio of Credit Agricole S.A. and Credit Agricole Group.
The deal is slated to be wrapped up by the end of 2017, subject to regulatory approvals.
Indosuez Wealth Management Asia CEO Pierre Masclet said: “Indosuez has a long-standing presence in this market, having set up in Hong Kong in 1894 and in Singapore in 1905. The addition of CIC’s private banking operations in these markets further cements our commitment for the future in the region.”
The firms started exclusive negotiations for the acquisition last month. The deal aligns with Indosuez’s plan to accelerate growth in key markets as part of its “Shaping Indosuez 2020″ project.