Societe Generale says it is now free to focus its private banking activities on Europe, the Middle East, Africa and Latin America following the sale of its Asian business to DBS.
The Asian private banking activities are predominantly focused on Hong Kong and Singapore. Societe Generale will receive $220m in cash from the deal, which it says will improve its group Basel III Common Equity Tier 1 ratio.
However, a collaboration agreement between SG Private Banking and DBS Private bank, mean that clients of the former will be able to access private banking in Asia, while DBS’ clients can access similar services in Europe via SG PB.
Jean-François Mazaud, head of Societe Generale Private Banking, said: “We are pleased to have successfully concluded this transaction with DBS, which proceeded smoothly thanks to the strong commitment and the quality of our teams. It ensures that our respective private banking clients benefit fully from the very best of the two banks in Europe and in Asia. It allows us to concentrate our efforts on strengthening our existing platforms in Western Europe and increasing synergies within Societe Generale group.”
“We are well on course to meet our strategic objectives for 2016 and reaffirm Societe Generale Private Banking as the private bank of reference in the markets in which it operates.”