BNP Paribas has reached an agreement to acquire Axa Investment Managers for €5.1 billion, marking Axa's exit from the asset management sector. The deal, expected to close by mid-2025, will create a leading asset management operator in Europe with managed assets totaling €1.5 trillion, of which €850 billion is attributed to Axa IM.
The acquisition is projected to impact BNP Paribas's CET1 ratio by 25 basis points and exceed 18% return on invested capital by the third year. Following the announcement, BNP Paribas shares traded slightly down at €57.30, reflecting an over 8% decline for the year, underperforming the CAC 40 index.
The agreement includes a long-term strategic partnership for the joint management of a significant portion of BNP Paribas Cardif's insurance activities. Renaud Dumora, president of BNP Paribas Cardif, emphasized the importance of integrating Axa IM's employees and clients into BNP Paribas.
Thomas Buberl, CEO of Axa, noted that Axa IM has been a success story and expressed confidence that the merger will enhance its global asset management capabilities, focusing on responsible investments.
This acquisition aligns with BNP Paribas's strategy to strengthen its global presence and diversify revenue sources, leveraging liquidity from the sale of its U.S. operations. It positions BNP Paribas among the top players in the sector alongside Crédit Agricole and Amundi, which collectively manage over $2.6 trillion.