The BNP Paribas Group has confirmed it is in exclusive negotiations with AXA to acquire 100% of AXA Investment Managers in a deal that could reach €5.1bn.
This major strategic move will help position the French multinational bank as one of Europe’s leading financial services by acquiring all of AXA Investment Managers assets, with the deal expected to be finalised in mid-2025.
Jean-Laurent Bonnafé, Director and CEO, of BNP Paribas, stated: “This project would position BNP Paribas as a leading European player in long-term asset management.
“Benefiting from a critical size in public and alternative assets, BNP Paribas would serve its customer base of insurers, pension funds, banking networks and distributors more efficiently.
“The strategic partnership entered into with AXA, the cornerstone of this project, confirms the ability of both our groups to join forces. This major project, which would drive our growth over the long-term, would represent a powerful engine of growth for our group.”
The move will also see BNP Paribas take up and develop AXA assets such as life insurance, savings, property, casualty policies, health insurance and more.
A combined entity of BNP and AXA could see its total assets valued at approximately €1.5trn according to the latter, becoming one of the largest asset management entities across Europe.
BNP revealed that the acquisition would also allow the combined business to benefit from AXA’s market position and track record in private assets, aiming to drive further growth with both institutional and retail investors.
The signing of the proposed transaction, expected by the end of the year, is subject to the information process and consultation of the employees’ representative bodies.
Thomas Buberl, CEO of AXA, added: “AXA Investment Managers has been a homegrown success story for the AXA Group. Over the past 25 years, we have built an exceptional franchise anchored in investment expertise, a relentless client focus and a proven track record on sustainability.
“By joining forces with BNP Paribas, AXA IM would become a global asset manager with a wider product offering and a mutual objective to further their leading position in responsible investing.
“I would like to thank all AXA IM employees for their unwavering commitment, and their continued focus on delivering value for our clients.”