BNP Paribas to buy HSBC's private banking business in Germany

23rd Sep 2024 08:40

(Sharecast News) - BNP Paribas said on Monday that it has agreed to buy HSBC's private banking activities in Germany, as it looks to position its wealth management arm "among the top leading players in Germany" and bring its assets under management to more than €40bn.

BNP said Germany offers strong growth potential for wealth management activities, mainly within the Mittelstand - German SMEs - and with the German entrepreneurs and families client segment.

"Leveraging on BNP Paribas' diversified and integrated business model, BNP Paribas Wealth Management aims to provide these entrepreneurial clients with a comprehensive service offering, ranging from investment and corporate banking to asset management, all pooled from BNP Paribas' well-established different franchises," it said.

It added that HSBC's private banking activities "perfectly fit" within BNP Paribas Wealth Management's model.

Vincent Lecomte, chief executive of BNP Paribas Wealth Management, said: "This acquisition is a new crucial step in positioning BNP Paribas Wealth Management among the leading players in Germany, where we believe our model is best suited to serve the long-term needs of entrepreneurial clients, leveraging on the strong franchises of the group to both address their personal and corporate needs.

"It will therefore contribute to consolidate our position as the first Wealth Management player in the eurozone."