Amundi AM and Banco Sabadell have reached a long-term strategic agreement about distributing Amundi´s funds via Banco Sabadell. The agreement involves the sale of 100% of Sabadell Asset Management for 430 million euros. Plus an additional clause of EUR 30 million payable in 2024 for the AUM of the Spanish bank customers on that date.
The transfer includes the subsidiary Sabadell Asset Management Luxembourg, S.A., and Sabadell Urquijo Gestión. In December 2019, Sabadell AM run EUR 21.8 billion, excluding third party funds, while its net profit was EUR 34 million.
The estimated cost, subject to obtaining the relevant authorizations, will be carried out in the third quarter of 2020. The operation will generate an approximate capital gain of EUR 351 million net of taxes. The profits will strengthen Banco Sabadell’s capital position by contributing with 43 basis points at the Common Equity Tier 1 (CET1) ratio fully-loaded.
Of the aforementioned amount of goodwill, EUR 58 million is subject to certain guarantees in force throughout the period of the distribution agreement. That amount will be paid proportionally over the next 10 years. The remaining EUR 293 million will be paid at the close of the operation.
Comments about the deal
Josep Oliu, President of Sabadell said:
This is a great strategic and commercial decision. It allows Banco Sabadell to outsource our product offering to a reliable leading fund company in Europe. This alliance is a great opportunity to improve and boost the investment and savings business. As well as strengthen Banco Sabadell’s commitment to providing expert advice and excellence in customer service.
Yves Perrier, CEO of Amundi commented:
We are very pleased of our new strategic alliance with Banco Sabadell, a leading bank in Spain. We are convinced that this agreement will benefit Banco Sabadell customers and offer strong development potential.
The deal runs on line with Amundi’s strategy to deploy in Europe its ability to offer its services to customers through retail networks. The acquisition of Sabadell Asset Management is for Amundi a new step to significantly strengthen its position in Spain, an important savings market in Europe.
