The FINANCIAL — UBS announced on 24th October that it has agreed to acquire 100% of the Caisse Centrale de Réescompte Group from Commerzbank for a total consideration of approximately EUR 435 million. The transaction is expected to close in the first quarter of 2008, subject to regulatory approvals.
According to UBS, Caisse Centrale de Réescompte (CCR) Group is an asset and wealth manager in France with EUR 17 billion of invested assets as of June 2007 and with approximately 190 employees.
"The CCR Group includes four principal entities: CCR, a provider of banking services to its subsidiaries; CCR Actions, an asset manager specializing in equity funds; CCR Gestion, an asset manager specializing in fixed income and alternative products and CCR Chevrillon-Philippe, a provider of asset management services to private clients.
UBS has agreed to pay approximately EUR 435 million consisting of the following two components: EUR 275 million for a 100% interest in the CCR Group, as well as approximately EUR 160 million for the expected excess capital of the CCR Group at closing. The purchase price is subject to certain adjustments and performance criteria as part of the closing process.
The business of the CCR Group will be integrated into the asset management and wealth management businesses of UBS in France", UBS reports.
“The combined entity further strengthens the presence of UBS in France and underlines its strong commitment to the European market,” John Fraser, Member of the UBS Group Executive Board and Chairman and CEO of Global Asset Management commented.
"This transaction provides us with a strong domestic platform which will enable us to achieve our high growth ambitions in France," Gabriel Herrera, Head of Europe, Middle East & Africa, Global Asset Management added.
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