Julius Baer considering potential takeover of Swiss rival EFG, Bloomberg News reports


(Reuters) – Switzerland’s private banking group Julius Baer is exploring a potential acquisition of rival EFG International, Bloomberg News reported on Friday, citing people familiar with the matter.

There is no certainty that the talks between the two companies will result in a transaction, the report said.

Swiss private bank EFG International has a market valuation of more than $4 billion, according to LSEG data.

Julius Baer and EFG International declined to comment on the report.

A deal between the two Swiss banks could create a wealth manager with more than 500 billion Swiss francs ($547.11 billion) in assets under management, according to the Bloomberg report.

Switzerland’s financial regulator, FINMA, launched an investigation into Julius Baer over its risk controls, Bloomberg reported in December last year. The investigation could complicate large transactions.

EFG, which had assets under management of 142.2 billion francs at the end of 2023, told analysts in February that it has been looking for meaningful acquisitions given its significant excess capital.

($1 = 0.9139 Swiss francs)

(Reporting by Chandni Shah in Bengaluru; Editing by Ravi Prakash Kumar)

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