BNP Paribas has planned to acquire AXA Investment Managers for EUR 5.1 billion, creating a EUR 1.5 trillion asset management giant. The BNP Paribas Group announced that it has entered exclusive negotiations with AXA to acquire 100% of AXA Investment Managers (AXA IM), representing close to EUR 850 billion assets under management, together with an agreement for a long-term partnership to manage a large part of AXA’s assets.

BNP Paribas Cardif, the insurance business of BNP Paribas, after having directly proceeded to the proposed transaction as principal, would have the opportunity to rely on this platform for the management of up to EUR 160 billion of its savings and insurance assets. A mutually beneficial partnership With the combined contribution of BNP Paribas’ asset management platforms, the newly formed business, which total assets under management could amount to EUR 1.5 trillion, becomes better positioned in the European sector. Specifically for managing long-term savings assets, such as those for insurers and pension funds, with EUR 850 billion in assets. The company would also use strong platforms for both public and private investments.

The acquisition further allows the combined businesses to benefit from AXA IM Alternatives’ market position and track record in private assets, which will drive further growth with both institutional and retail investors. The agreed price for the acquisition and the set-up of the partnership is of EUR 5.1 billion at closing, expected mid-2025. With a CET impact of circa 25 bp for BNP Paribas, the forecasted return on invested capital of the transaction would be above 18% as soon as the 3rd year, following the end of the integration process.

Commenting on this acquisition, executives from BNP Paribas said this project would position the group as a prominent European player in long-term asset management. Benefiting from a critical size in public and alternative assets, BNP Paribas would serve its customer base, and distributors more efficiently. .