The world's local bank
GFBital to acquire AFORE Allianz Dresdner in Mexico
14 August 2003
Grupo Financiero Bital, S.A. de C.V. (‘GFBital’), a subsidiary of HSBC Holdings plc, has reached an agreement in principle to acquire 100 per cent of the shares of AFORE Allianz Dresdner, S.A. de C.V. (‘AAD’), currently controlled by the Allianz Group, for US$200 million.
AAD is a pension fund management company in Mexico with 1.25 million customers and MXN11,000 million (US$1,050 million) in funds under management.
Sandy Flockhart, Group General Manager and CEO for HSBC in Mexico, said: “This acquisition is an excellent opportunity for GFBital to develop a significant pension fund management business in Mexico. AAD’s position in the market and the experience of its staff, together with our distribution network and customer base, will allow us to quickly build profitable market share in this business.”
Dr Joachim Faber, member of the board of management of Allianz, responsible for Allianz Dresdner Asset Management, said: “In Mexico we were able to build a successful business, but going forward the synergies within Allianz Dresdner Asset Management are less obvious. On a stand-alone basis the business is too small. With its banking and distribution networks GFBital can integrate and leverage AFORE Allianz Dresdner. Given the ongoing consolidation process in this industry it is the right time for this transaction.”
The transaction, which is subject to regulatory approvals, is expected to complete in the third quarter of 2003.
Notes:
1. Allianz
Allianz is one of the leading financial services providers with insurance, banking and asset management segments. With gross premiums written of €82.6 billion in the business year 2002 Allianz was one of the leading insurance companies.
2. GFBital
GFBital is one of the five largest banking and financial services institutions in Mexico, with some 1,400 branches, 4,000 ATMs, and over 17,000 employees.
Useful tools
Increase font
Decrease font