Zurich-headquartered private bank EFG International has agreed to acquire the Luxembourg based private banking activities of UBI Banca International from Unione di Banche Italiane.
UBI Banca International (Luxembourg) has around €3.6bn in assets under management.
EFG International specified that the transaction is structured as a cash acquisition of UBI Banca International (Luxembourg) S.A. and will have no material impacts on EFG International’s regulatory capital position.
The deal is expected to close during the first half of 2017, and the company will merge into EFG Bank (Luxembourg) S.A..
UBI’s branches in Madrid and Munich are not part of the transaction, as well as its fiduciary and corporate banking activities.
It forms the second move of EFG International in the M&A activity since the start of 2016 as the company is to soon acquire the Lugano based private bank BSI, after an agreement has been signed on 21 February 2016 with BSI’s sole shareholder BTG Pactual.
The EFG International annual general meeting, scheduled on 29 April 2016, shall result in a shareholder approval for the transaction.
The deal is to be closed in Q4 2016 and BSI is expected to entirely merge into EFG International at end 2017.