Swiss wealth manager Vontobel has agreed to acquire Vescore, the asset management arm of Swiss cooperative lender Raiffeisen.
Vescore operates from its St. Gallen headquarters, as well as from offices in Basel, Munich, Lausanne, Riga, Vienna and Zurich. The company manages a total of CHF15bn of client assets.
Vontobel CEO Zeno Staub said: "The deepening of our collaboration in the asset management business of both companies, with the clear division of roles, is the right step forward. This stronger partnership will generate additional benefits for Raiffeisen and Vontobel clients.
"We are delighted to have the opportunity to give Raiffeisen even greater support in the planned growth of its investment business through our asset management offering and service. With the acquisition of Vescore Ltd, we are pursuing our carefully considered growth strategy in our target markets."
The deal is expected to be completed in the third quarter of 2016, subject to regulatory approval. The acquisition will be funded by Vontobel’s own funds.
Vontobel Asset Management head Axel Schwarzer said: "Vescore ideally complements our existing asset management product portfolio, which is focused on long-term growth. The ultimate goal is for Raiffeisen, Vescore and Vontobel clients to benefit from our broader global investment capabilities in an environment with heightened investment needs."