Swiss multinational financial services company Credit Suisse has entered into an agreement to purchase Morgan Stanley's wealth management businesses in Europe, Middle East and Africa (EMEA), excluding Switzerland.
Serving mostly international ultra high net worth (UHNW) and high net worth (HNW) clients across Europe, the businesses have more than $13bn of cumulative assets under management and are based in the UK, Italy and Dubai.
Apart from strengthening Credit Sussie’s core growth markets in EMEA region including the UK, Italy, Nordics, Russia and the Middle East, the acquisition will enable the lender to sharpen its focus on growing UHNW and HNW client segments.
Credit Sussie said that the transaction will considerably enhance its client base in the UK market, placing the bank as a top ten player and leading wealth manager.
Following completion of the acquisition, the acquired entity will be integrated into Credit Suisse’s private banking & wealth management division.
Commenting on the acquisition, Credit Suisse Western Europe private banking private banking Romeo Lacher said that accelerating the growth momentum in its international markets and in its UHNW client segment remains a key priority for Credit Suisse.
"Morgan Stanley has developed a strong foothold in wealth management over the past years and its high quality client base and experienced employees perfectly complement our ambitions to grow our share in these areas," he added.
The Swiss lender said that the integrated strengths and expertise of both firms in private banking & wealth management, asset management services, and investment banking will enables it to offer customized and modern services to clients, especially to UHNW clients.
The acquisition, which is subject to satisfying certain closing conditions, is structured as an asset purchase for the businesses involved and likely to conclude later this year.
Credit Suisse provides private banking, investment banking and asset management services to companies, institutional clients and high-net-worth private clients globally, as well as to retail clients in Switzerland.
Headquartered in Zurich, the bank trades in over 50 nations globally and has a workface of nearly 47,400 employees.
Established in 1935 and headquartered in New York, Morgan Stanley manages more than 1,200 offices in 43 countries, and offers an array of investment banking, securities, investment management and wealth management services.