FRANKFURT, Feb 1 (Reuters) - German state-backed lender NordLB is selling the majority of its asset management arm to Warburg Bank and will pool it with the Hamburg-based lender’s activities, it said on Thursday.
NordLB, which is ailing due to high writedowns for ship loans that went sour, will retain a 24.9 percent stake in the asset manager to be created under the deal, which will have 34 billion euros ($42.3 billion) in assets under management.
NordLB did not disclose financial details of the deal.
Earlier this month, NordLB decided to keep property lender Deutsche Hypothekenbank, which it had put on the block to repair its balance sheet. ($1 = 0.8033 euros) (Reporting by Arno Schuetze; Editing by Maria Sheahan)