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Kleinwort-RHJI Purchase Of Hamburg Private Bank Gets Green Light
German financial regulator BaFin has backed Kleinwort Benson Group’s and its parent company RHJ International’s acquisition of BHF-BANK.
German financial regulator BaFin has approved Kleinwort Benson
Group’s and its parent company RHJ International’s acquisition of
BHF-BANK.
The move will help Kleinwort
Benson Group to expand its wealth and asset management
presence with the addition of BHF’s private banking, German
Mittelstand corporate banking and financial markets.
BaFin had no objections to the proposed acquisition, in which
Kleinwort Benson Group will pay €322 million ($441 million) in
cash for a 91 per cent stake in BHF. The remaining 9 per cent
goes to financial services group [RHJ International">RHJI for
€32 million, paid in RHJI shares to Deutsche Bank at par
value.
The acquisition will result in a shake-up of Kleinwort Benson
Group’s ownership: RHJI will keep a 65 per cent stake in the firm
whilst co-investor on the BHF deal, investment company Fosun
Group, will gain the remaining 35 per cent.
Under the various firms’ wings, BHF will now be able to access
their scale and latch onto the lucrative wealth management
markets in both Germany and the UK.
The move fits nicely into RHJI’s expansion goals. With Kleinwort
Benson Group and BHF combined, it can deliver a diversified
financial services group, driving growth for its clients and
shareholders. Its finalisation is subject to prior conditions
before the deal can officially be closed at the end of March.
Frankfurt am Main-headquartered BHF functions out of Abu Dhabi,
Geneva, Luxembourg and Zurich, as well as its native Germany. It
looks after around €37 billion of clients’ assets.
