The transaction foresees the acquisition of part of Nordea Bank's business and its integration onto UBS' advisory platform. The decision follows a thorough strategic review of Nordea’s Private Banking International activities. The strategic review was part of the transformation of Nordea, with the aim to better manage risk, focus the business and deliver an even better bank for the clients. This led to the decision to concentrate Nordea's private banking activities on the Nordics.
The acquisition will enable UBS to grow its presence in Europe and further build its position as a key Wealth Manager for Nordic clients in Europe.
Nordea Asset Management continues their business activities in Luxembourg after UBS having acquired part of Nordea Bank’s private banking business."Luxembourg is a financial center for asset management. Hence it is natural for us to have a presence sincecompetence and infrastructure is well established," says Snorre Storset.
On December 1st 2016, UBS created UBS Europe SE (UBS ESE), with its Head Office in Germany and branches located in Luxembourg, Italy, Spain, Austria, Sweden and Denmark. With UBS ESE, UBS has created a truly European bank and a pan-European Wealth Manager. UBS Luxembourg acts as competence center forhosting and servicing the cross-border business for clients domiciled in the EEA and has an active growth strategy for the Nordics cross-border market.
While the business transfer agreement has been signed, the details of the transaction and its completion currently planned for the second half of this year remain subject to applicable regulatory approvals and a number of conditions. The transaction will have a marginal positive impact on CET1 capital for Nordea. Assets under management for this business as per end of 2017 amounted to EUR 13bn.