MANAMA: Investcorp, a Bahrain-based alternative investment manager, has made a strategic minority investment in Swiss private bank Banque Pâris Bertrand Sturdza.
The firm did not disclose how much stake it had bought in the Swiss bank or the amount it had invested.
According to a statement, Banque Pâris Bertrand Sturdza will be renamed Banque Pâris Bertrand SA and will remain operationally independent, with Investcorp taking on the role as a strategic partner together with minority private investors.
There will be no changes to its overarching governance structure or day-to-day interactions with clients.
Since its May 2009 establishment in Geneva, the Swiss bank has seen its assets under management (AuM) grow at an average yearly rate of 35 per cent to $5.4 billion as of June 2018.
It caters to more than 400 high-net-worth individuals, family offices and institutional clients mainly from Switzerland and Europe.
Banque Pâris said the investment will enable it to broaden and enhance its commercial offering to clients.
Investcorp said the stake buy was in line with its strategy to selectively partner with companies that complement and grow both the existing client offering and international footprint.
Access to the Swiss bank’s client list and its independent investment advice were addition benefits, it added.
The investment has been approved by FINMA and CSSF, the Swiss and Luxembourg financial regulators.
“We are delighted to be working with Banque Pâris Bertrand and its associates, who represent excellence in the field of private banking through their high-quality service offering and their high-performance investment solutions. The bank’s evolution since 2009 is remarkable – most noticeably for its alignment with its clients’ interests,” Investcorp’s executive chairman Mohammed Alardhi said.
“The synergies between the two institutions will be significant, and should be mutually beneficial for both parties.”
Investcorp has set itself the target to reach $50bn in AuM over the medium term, and last year acquired a $12bn AuM credit management business, now known as Investcorp Credit Management.
Pierre Pâris & Olivier Bertrand, co-founding partners of Banque Pâris, said: “Investment from new private shareholders and Investcorp showcases both the attractiveness and the unique positioning of Banque Pâris Bertrand in the private banking and fund management space – particularly regarding our wealthiest and most demanding clients.”