BNP Paribas acquires Banco Sabadell's custody services unit

Source: BNP Paribas

BNP Paribas and Banco Sabadell have today announced an agreement by which BNP Paribas Securities Services, a wholly-owned subsidiary of BNP Paribas, acquires Exelbank, a subsidiary of Banco Sabadell specialising in custody services.

As a result of this agreement, Exelbank will be integrated into BNP Paribas Securities Services once the necessary approvals are obtained from the corresponding regulators.

Exelbank provides custody and settlement related services to Spanish and international financial institutions, depositary bank services to mutual and pension funds and outsourcing services related to investment operations and private banking. The subsidiary, with its origin in Banco Urquijo, is more than 40 years old, and is strongly recognised in the Spanish custody market. Currently, it has some EUR 18 billion in assets under custody and serves more than 150 funds, managed by approximately 25 investment managers.

This acquisition consolidates BNP Paribas Securities Services' position among the leading players in the Spanish market, where it already serves a large portfolio of domestic and international clients. It will enable BNP Paribas to add both significant scale to its Spanish custody operations and further strengthen its presence in one of Europe's important investor markets.

Commenting on the agreement, Jacques-Philippe Marson, Chief Executive Officer of BNP Paribas Securities Services said: "The European consolidation in the securities services industry continues and this transaction reflects our strategy of external growth via selected acquisitions and partnerships. Like BNP Paribas, Exelbank has a well-respected, top-rated team of professionals and a high-quality client franchise, in Spain - all of which will reinforce our service offering in the Spanish market".

Commenting on the transaction, Miquel Montes, current Chairman of Exelbank and Deputy General Manager of Banco Sabadell, said: "After a detailed and rigorous bidding process, we are very pleased to sell the business to BNP Paribas. BNP Paribas Securities Services, the European leader, is by far the best option to guarantee the continuity of the business in our clients' best interests."

Alvaro Camuñas, Head of BNP Paribas Securities Services in Spain added: "We are very pleased to have signed this agreement with Banco Sabadell. We anticipate a smooth migration of activity, and also look forward to developing further strong relationships with Exelbank's clients".

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