BNP Paribas signs deal to acquire HSBC’s German private banking unit
BNP Paribas announced on Monday it had signed an agreement to acquire HSBC‘s private banking activities in Germany.
The move aims to solidify BNP Paribas Wealth Management’s position as one of the top leading players in the German market and increase its assets under management (AuM) to over €40 billion ($44 billion).
The transaction is expected to close in the second half of 2025, subject to regulatory approval.
For BNP Paribas, Germany represents a significant growth opportunity for wealth management services, particularly among the Mittelstand – German small and medium-sized enterprises (SMEs) – and entrepreneurial families.
Leveraging on BNP Paribas’ diversified and integrated business model, BNP Paribas Wealth Management plans to provide these entrepreneurial clients with a comprehensive service offering, ranging from investment and corporate banking to asset management, all pooled from the French lender’s well-established different franchises.
HSBC’s Private Banking activities, with a strong focus on high-net-worth (HNW) and ultra-high-net-worth (UHNW) individuals, complement BNP Paribas Wealth Management’s existing regional coverage, particularly in North Rhine-Westphalia. This acquisition is expected to enhance BNP Paribas’s position to rank among the leading wealth management players in the country.
Part of the investment and protection services division, BNP Paribas Wealth Management ranks as the first private bank in the eurozone with global AuM worth €446 billion at the end of June 2024.
Vincent Lecomte, CEO of BNP Paribas Wealth Management, expressed enthusiasm about the acquisition, stating that it aligns with the bank’s strategy to become a leading player in the German market. He emphasized the company’s ability to serve the long-term needs of entrepreneurial clients through its comprehensive range of services.
“It will therefore contribute to consolidate our position as the first Wealth Management player in the Eurozone,” Lecomte added.
For his part, Lutz Diederichs, CEO of BNP Paribas Germany, said: “Germany is a key strategic market for BNP Paribas with a local presence of more than 75 years.”
“The further development of our Wealth Management franchise is an integral part of our growth plan within the German economy. Wealth Management in Germany serves as an entry portal for our clients into the entire portfolio of services of the BNP Paribas Group, in particular in Corporate & Institutional Banking, Real Estate, Asset Management and Securities Services,” Diederichs noted.
Attribution: BNP Paribas
Subediting: M. S. Salama
