Societe Generale has completed the sale of its Asian private banking business to Singapore-based DBS for $220 million (€176 million).
The French bank says the deal will increase its capital ratio as measured under the Basel III standards while allowing it to strengthen its existing platforms in western Europe.
The acquisition will increase assets under management in DBS's wealth division to 129 billion Singapore dollars (€81 billion), of which about two-thirds is from high-net-worth investors.
"Wealth management is one of DBS's key strategic priorities, and the completion of this transaction enables us to build on what is already a very solid platform," says Piyush Gupta, chief executive of DBS.
The private banking divisions of each bank will collaborate to allow their clients to access the other's services.
Most of the employees of Societe Generale Private Bank Asia will move over to DBS. Olivier Gougeon, who was regional chief executive of the Societe Generale business, will become head of transformation, integration and the ultra-high-net-worth segment at DBS Private Bank.
©2014 funds europe