- Agreement includes strategic distribution partnership with UOB Group to broaden suite of investment products and wealth solutions for their clients
- Combined investment management business will be well placed to deliver a market-leading client experience for investors across South-East Asia
- Deal significantly deepens AllianzGI’s presence in Singapore, a long-standing and strategically important market for the firm
- Provides established, on-the-ground, licensed presence in high growth markets in the region, including Thailand, Malaysia and Vietnam
- UOBAM’s complementary, strong South-East Asian investment expertise will enrich AllianzGI’s investment platform, creating new product opportunities for clients globally
Allianz Global Investors (“AllianzGI”), one of the world’s leading active asset managers, announced today that it has entered into an agreement to acquire UOB Asset Management (“UOBAM”), the asset management business of Singapore-headquartered UOB Group (“UOB”). The transaction will strengthen AllianzGI’s business in Asia Pacific, bringing the assets it manages for clients in the region to more than EUR 170bn, and enabling the combined business to develop a market-leading client experience for investors throughout South-East Asia.
Strategic rationale
The proposed acquisition of an established on-the-ground asset management platform would provide access for AllianzGI to a number of important high-growth markets, including Thailand, Malaysia and Vietnam. It will also provide an opportunity to further scale AllianzGI’s business in markets where it has an established presence, including Singapore, Taiwan and Indonesia.
Complementary investment capabilities
AllianzGI and UOBAM’s investment capabilities are highly complementary. UOBAM offers strong South-East Asian market investment expertise and AllianzGI has a comprehensive global product suite grounded in active investing. Together, the combination will enable clients to benefit from access to a broader range of innovative investment capabilities and solutions.
In particular, the combined platform will offer strengthened South-East Asian investment expertise, including regional and single-country equity strategies and Sharia-compliant offerings, as well as support the development of further, future differentiated solutions for clients.
Distribution agreement with UOB
The transaction is, importantly, accompanied by a long-term distribution agreement which provides long-term access to the retail client network of UOB, reflecting the bank’s confidence in the combined group’s ability to serve its client base with innovative products.
Tobias Pross, CEO of Allianz Global Investors, said: “UOBAM is one of South-East Asia’s leading asset managers, with very well-regarded investment capabilities and a strong distribution network. Adding their complementary South-East Asian investment expertise to our global platform will boost our combined offering and significantly accelerate our growth in this dynamic region.
“Reinforcing our long-term commitment to broadening the reach of our investment offering in South-East Asia, this deal provides us with deeper market connectivity and opens new opportunities to engage with an expanded base of clients. With a strengthened regional presence, we will be able to serve an even broader range of investors, providing them with access to a wider range of innovative wealth management and retirement solutions that help them meet their investment objectives.”
Mr Wee Ee Cheong, Deputy Chairman and Chief Executive Officer, UOB, said: “UOB serves more than 8 million customers across ASEAN, whose wealth and investment needs are becoming increasingly diverse and sophisticated. This partnership sharpens our focus on wealth advisory and distribution. By combining UOB’s advisory expertise and customer relationships with Allianz Global Investors’ investment capabilities, we are well positioned to meet our customers’ evolving needs and support their long-term wealth goals. This also enables us to accelerate wealth management growth while enhancing long-term shareholder value. During the transition period, maintaining continuity for customers and employees is our priority. We thank UOBAM’s management team and employees for their dedication and contributions over the past four decades in building a trusted regional asset management franchise.”