Danish Multi-Asset brokerage Saxo Bank has parted ways with its retail banking unit operating in Denmark. The company announced this morning that it has sold its Saxo Privatbank subsidiary to Alm. Brand. The sale represents a full commitment of the company to the brokerage industry at a time when key regulatory changes in Europe are incoming.[gptAdvertisement]
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The deal is worth $60 million (DKK360 million), which Alm. Brand financed with equity. Saxo Privatbank has over 17,500 customers, consisting of about 15,000 private and about 2,500 corporate clients.
Commenting on the deal, the co-founder and CEO of Saxo Bank, Kim Fournais said: ”We have accepted an offer from Alm Brand because we believe this will create a win-win situation for both Saxo Bank, Alm. Brand and the clients of Saxo Privatbank.
"We also announce a strong partnership allowing all clients of Alm. Brand Bank to gain access to Saxo’s Trading Platform and global capital markets and it is a strategic decision to grow our business via partnerships globally. We are confident that Alm. Brand will be a valuable partner going forward and can ensure continuous development of Saxo Privatbank,” Mr Fournais added.
Assets and Partnerships
The acquisition includes a total lending portfolio of $300 million (DKK 1.8 billion), and deposits that are worth close to $3.35 billion. The deal includes a total of seven branches and two administrative offices. Saxo Bank A/S will retain the brokerage functions for the clients as the bank. The companies have agreed to form a strategic partnership for the continued use by the clients of SaxoTraderGO.
Commenting on the deal, the management team of Alm. Brand outlined: "We are extremely pleased to have the opportunity to take over a healthy and well-run business like the activities in Saxo Privatbank. The purchase fits perfectly into Alm. Brand Group's strategy for growth and the desire to help most customers across their financial needs."
"Our new customers from Saxo Privatbank will find that they become customers in a bank with a stable focus on traditional banking operations with a high level of service, private banking and asset management activities," emphasized the CEO of Alm. Brand, Søren Boe Mortensen.
