Deutsche Bank last week signed an agreement with Aberdeen Asset Management to sell parts of the UK and Philadelphia-based asset management businesses of Deutsche Asset Management (DeAM). The decision to sell follows a comprehensive and strategic review of Deutsche Bank's asset management business globally.
"Aberdeen Asset Management is one of the UK's leading providers of institutional asset management services and pooled funds," said Kevin Parker, Member of Deutsche Bank's Group Executive Committee and Global Head of Deutsche Asset Management. "This transaction represents an outstanding opportunity for the highly respected businesses that are part of the deal to further develop and thrive."
The transaction, which is subject to regulatory, Deutsche Bank's Supervisory Board and Aberdeen Asset Management shareholder approval, is valued at up to £265 million. This assumes a net asset value at closing of £55 million and will be dependent to some extent upon future fee revenue.
Businesses included in the sale are the UK-based institutional Equity, Fixed Income, Global Equity, Multi-Asset, and DWS retail businesses, as well as the Philadelphia-based Active Fixed Income business. DeAM's UK-based Hedge Fund and Real Estate businesses and its Philadelphia-based High Yield business do not form part of the sale and remain key and integral parts of DeAM's global platform.
"The objective is to create a stronger, more focused DeAM business that can provide greater value to our clients and shareholders," said Parker.
Throughout the closing of the transaction, DeAM will remain committed to the stability of its investment teams and their processes. "Maintaining our full fiduciary obligations to our clients is of paramount concern," Parker said.
Source: Deutsche Bank