BNP Paribas and UniCredit Bank AG's management board have reached joint understanding on the acquisition of a 81.39% stake in DAB Bank by BNP Paribas Group at a price of 4,78 EUR per share, thereby valuing 100% of the Company at 435 million EUR.
This acquisition will give BNP Paribas a strong boost in the development of its digital banking and brokerage business in Europe. It will enable the Group to nearly double the number of its clients in this segment in Germany reaching 1,4 million clients and 58 billion EUR AuM. The number of securities transactions for both entities summed up to almost 6 million in the first 6 months of 2014.
The execution of final documentation remains subject to approval by UniCredit Bank AG's supervisory board and will include customary regulatory and antitrust approval conditions.
DAB Bank, which is a major player in the online securities-related sector in Germany, has been experiencing rapid growth in its direct banking business since 2012. The Munich-based company is expanding its business with private clients, as well as via its B2B offer to IFAs (Independent Financial Advisers). DAB Bank operates in Germany and Austria, where it has 567,000 and 67,000 clients, respectively. Its total deposits reached 5 bn EUR and volume of securities accounts 30 bn EUR.
In Germany Cortal Consors is a key player in online banking and brokerage services. Cortal Consors serves 790,000 private clients and employs nearly 800 people on a full-time-basis.
In Germany, BNP Paribas already covers a broad range of client segments from retail to corporate and institutional with 12 business lines and 4,000 employees. Germany is a key market for BNP Paribas' expansion in Europe, committing additional means and workforce with strong growth targets in terms of revenues.
The planned acquisition of DAB is fully in line with BNP Paribas' 2014-2016 Business Development Plan. This is a new step in BNP Paribas' growth on the European scene. It reaffirms its ambitions as an innovative bank, keeping its clients at the heart of all its undertakings and getting more involved in digital and mobile banking field. This transaction will allow BNP Paribas to substantially enhance its recognition among private clients in Germany. BNP Paribas will manage this business from Nuremberg and Munich. This acquisition also provides a foundation for developing the Group's Retail business in Austria.
“DAB bank and Cortal Consors are pioneers in digital brokerage and banking in Germany, both with 20 years of experience. This operation is very positive for the clients of Cortal Consors and DAB Bank, which will benefit from the combined expertise of both companies,“ says Kai Friedrich, CEO Cortal Consors Germany and coordinator of the BNP Paribas Retail activities in Germany.
And Camille Fohl, Head of BNP Paribas Germany and Chairman of the Management Board in Germany states: “The purchase of DAB Bank is a unique opportunity for us to further develop in Germany. It enables us to significantly increase and broaden our client and deposit bases in this country, contributing to the development of our German businesses in line with our strategic plan for this market.”
François Villeroy de Galhau, COO of BNP Paribas and Head of Domestic Markets, concludes: "We are very proud and happy to welcome DAB Bank AG’s teams and clients to the BNP Paribas family. This acquisition will be instrumental in supporting the growth of our digital bank and brokerage in Europe. Since the successful launch of our own digital bank Hello bank! last year, we have been eager to grow further in this field. We plan to continue to develop this successful initiative.”
BNP Paribas has a presence in 75 countries with more than 180,000 employees, including 140,000 in Europe. It ranks highly in its three core activities: Retail Banking, Investment Solutions and Corporate & Investment Banking. In Europe, the Group has four domestic markets (Belgium, France, Italy and Luxembourg) and BNP Paribas Personal Finance is the leader in consumer lending. BNP Paribas is rolling out its integrated retail banking model across Mediterranean basin countries, in Turkey, in Eastern Europe and a large network in the western part of the United States. In its Corporate & Investment Banking and Investment Solutions activities, BNP Paribas also enjoys top positions in Europe, a strong presence in the Americas and solid and fast-growing businesses in Asia-Pacific.
About BNP Paribas in Germany
The BNP Paribas Group has been present in Germany since 1947, where it is today one of the leading foreign banks. Its activities relate mainly to large German and international companies, large export-oriented SMEs, as well as to financial institutions and institutional investors. The product portfolio of the subsidiaries of BNP Paribas in Germany is geared towards both companies and individuals. The customers of BNP Paribas benefit from local know-how combined with international expertise, as well as from the financial strength of a leading eurozone bank and its international network. The Group employs approximately 4,000 people in Germany.
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