UBS is pulling out of the onshore business with wealthy Dutch clients and has also agreed to a cooperation deal with the buyer of the local unit.
UBS, Switzerland’s largest lender, will stop catering for the rich Dutch clients onshore. Van Lanschot Kempen has agreed to buy the onshore business of UBS for 28 million euros, the company said in a statement today.
The buyer is the oldest independent bank of Holland active both in wealth management and as a trading company. It was founded in 1737. Van Lanschot Kempen in Switzerland has offices in Geneva and Zurich.
Assets, Staff and Services Included
The transaction includes clients’ assets worth 2.6 billion euros, the staff and services and products of UBS in Holland, a unit of UBS Europe SE based in Frankfurt. The two companies expect o complete the deal in the third quarter.
UBS will serve Dutch private-banking customers from Switzerland and Luxembourg. UBS and Van Lanschot Kempen have also signed a cooperation agreement, which will include the sale of UBS products and research to the Dutch partner.
European Reorganization
UBS is currently reorganizing its business in Europe. The major step involved launching UBS Europe SE, which holds the various licenses for the business in several European states. Thomas Rodermann, the head of UBS Germany, is in charge of UBS’ bank for Europe.
Business has been brisk on the continent this year so far. UBS in Europe received net new money of 10.5 billion francs in the first quarter, almost double the amount it received in the boom region of Asia-Pacific. It isn't however known how much the bank got from its onshore business in Holland.
Tough Market for CS
Archrival Credit Swiss (CS) has had a tough time in Holland recently. Dutch tax investigators are looking into allegations about black money accounts at Switzerland’s second-biggest bank. With their probe, they sparked investigations across the globe against CS.
