Societe Generale signs a Share Purchase Agreement to acquire 100% of Kleinwort Benson from the Oddo Group
Societe Generale today signed a share purchase agreement to acquire 100% of Kleinwort Benson and Kleinwort Benson Channel Islands Holdings Limited, the UK and Channel Islands’ wealth management business of BHF Kleinwort Benson Group S.A., a company recently acquired by Oddo & Cie.
Subject to regulatory approvals, Kleinwort Benson will be acquired and eventually combined with Societe Generale Private Banking Hambros (SGPB Hambros), the Group’s private banking business in the UK and Channel Islands, to create one of the leading private banks in the UK market.
“This acquisition will bring together two of the most recognised names in private banking, with shared values and a shared heritage in the UK and Channel Islands established through their deep-rooted history here. It will enable us to leverage on the expertise and strengths of the teams from each business to better serve our clients through the creation of a distinctive industry leader in wealth management,” said Jean-Francois Mazaud, Head of Societe Generale Private Banking.
“With the growth of the UK wealth management industry set to continue, the complementary nature of Kleinwort Benson and SGPB Hambros will build on our unique expertise. We will support our clients across all their needs, from banking to domestic and international wealth planning and fiduciary services to investment management, market access, structured products and specialised services. This expertise, together with the support of Societe Generale Group and the access to its worldwide network, will make our combined business uniquely positioned to grow and deliver a best-in-class service,” added Mr Mazaud.
Established originally as Hambros Bank in 1839 in the UK as a merchant bank financing domestic and international businesses, SGPB Hambros has grown to become one of the most distinguished private banks in the country. Kleinwort Benson, created from a business in 1786 to finance trade in England, has enjoyed a similar history, offering wealth management services to private clients for over 200 years with a compelling relationship-driven proposition. In addition to offering award-winning private banking and wealth management solutions to high net worth individuals, including growing numbers of executives, entrepreneurs and inherited wealth, Kleinwort Benson is increasingly gaining presence as financial advisor to a number of major UK infrastructure projects.
“The combination of Kleinwort Benson and SGPB Hambros is a very exciting development for our clients and our staff,” said Martha Boeckenfeld, Chief Executive Officer of Kleinwort Benson. “We will enjoy the benefits of being part of Societe Generale, and look forward to working together to create a leading force in private banking and wealth management.”
Grégoire Charbit, Partner at Oddo & Cie adds: “This deal is consistent with our strategy to focus on the Franco-German market. Kleinwort Benson is a prestigious bank, with a long history and renowned expertise. We are convinced that the new shareholder, Societe Generale, will provide great opportunities both for clients and staff of Kleinwort Benson.”
The acquisition reflects Societe Generale’s growth ambitions in private banking in its core markets of Europe, the Middle East and Africa, and is aligned with its strategic objective to be a relationship-focused private bank of reference.
This transaction would have no significant financial impact on the Societe Generale group.