ZURICH (Reuters) - Switzerland’s largest lender UBS (UBSG.S) is buying part of Nordea’s NDA.ST Luxembourg-based private banking business, the banks said on Thursday.
“This transaction allows us to move our business of servicing Nordic Wealth Management clients to a leading position in Luxembourg and in Europe,” UBS’s Luxembourg chief René Mottas said in a statement.
The planned sale of the business, with 13 billion euros ($16.13 billion) in assets under management in 2017, follows a strategic review of Nordea’s private banking business. It decided to concentrate its activities in the Nordics.
The transaction is planned for the second half of 2018, the banks said, subject to regulatory approval. Terms of the deal were not disclosed.
The transaction will have a marginal positive impact on CET1 capital for Nordea, it said.
(This story fixes spelling of Mottas in second paragraph.)
Reporting by Brenna Hughes Neghaiwi, editing by John Revill, John Miller