Credit Suisse sells part of Global Investors business
by Richard Kilner
Investment bank Credit Suisse has announced that it is to sell off part of its Global Investors asset management arm.
In return the Swiss bank will acquire 24.9% of Aberdeen Asset Management’s enlarged share capital, a stake worth an estimated £250m (based on the 104.25p closing price on 30 December), in addition to a seat on Aberdeen’s board.
The deal is due to be completed around Q2 of 2009, and requires the green light from Aberdeen’s shareholders as well as regulatory bodies.
Credit Suisse is to retain its asset management franchise in Switzerland and continue to operate its Global Investors business in Brazil and elsewhere in the world.
Aberdeen Asset Management will benefit from an increased presence in countries including the UK, Australia, Germany, Switzerland and Japan and an enhanced balance sheet (the acquired business is entirely free of debt).