DBS Bank To Acquire Société Générale’s Private Banking Business in Asia or 1.75% of $12.6 billion in assets under management

DBS Bank To Acquire Société Générale’s Private Banking Business in Asia

Singaporean Bank Seeks to Build on the Lucrative Wealth Management Business in the Region

P.R. VENKAT

March 16, 2014 7:36 p.m. ET

SINGAPORE—DBS Bank Ltd. Monday said that it has agreed to buy the Asian private banking business of French bank Société Générale SA GLE.FR -2.19% for $220 million, as the Singaporean bank seeks to build on the lucrative wealth management business in the region.

The acquisitions will allow DBS Bank, which is 29% owned by state investment firm Temasek Holdings Pte. Ltd., to have $12.6 billion of assets under management of Société Générale’s private banking assets in Asia.

The transaction is expected to be completed in the last quarter of 2014 subject to regulatory approvals, DBS said in a filing to the Singapore Exchange.

Société Générale has been running private banking operations in Asia since 1997 with key offices in Hong Kong and Singapore. The sale process, which started late last year, comes as Société Générale plans to expand its investment bank operations in Asia by beefing up its debt capital market operations and financing business in Southeast Asia.

An acquisition of the Asian private banking business by DBS, which is Southeast Asia’s largest bank by assets, would help the Singaporean bank boost its private wealth management business in Asia, which is increasingly gaining traction for high-net-worth individuals and billionaires. DBS has operations in 17 countries and regions across Asia including Singapore, China, Indonesia and India.

 

About bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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