The Agricultural insurance company (LVM) in Münster has found, according to information from business circles to find a buyer for his daughter Augsburger joint-stock Bank (AAB). The insurer had agreed with the British financial services company FNZ, the European Bank for Fund Services (Ebase) in Aschheim near Munich, it said.
Ebase, once a subsidiary of Commerzbank, since 2019 is part of the FNZ group. None of the companies involved wanted to comment on that. In the case of FNZ and Ebase, it was said that it was a “rumor” that you do not come from animals.
AAB and Ebase both have no branch network and hardly any customers. They are mainly as a service provider for financial service providers, asset managers, insurers and banks. These customer can obtain funds via you, as well as custody accounts and portfolios to manage. Together, they would have closed in Germany, a significantly greater market presence, what would be the impact on prices and costs.
Especially in the case of the AAB very high, high level of investment in the elderly the IT structure of the company would be required, if the Bank would not be sold.
With the purchase of FNZ is expanding in Germany. The company originates from new Zealand and is now based in the UK. The company offers as a service provider, IT platforms and the technical asset management for third parties.
Customers, especially life insurers, banks and small asset managers. The customer assets under management amounts to around 400 billion pounds. FNZ has a global workforce of 2500 employees. The London group is also not for end-users, but strictly according to the principle of Business-to-Business (B-to-B or B2B), to financial service providers.
FNZ has grown in recent years with a number of important Acquisitions. Group chief Executive Adrian Durham wants to be “the market leader in the provision of digital B2B-wealth management technology for financial institutions and their customers around the world”.
The Acquisition of the Augsburger aktienbank would fit. At the time of the AAB, which has a balance sheet total of EUR 3.2 billion, held in custody, securities for EUR 13 billion. It has around 380 employees. In addition, the Bank has subsidiaries in Leasing and in other services active.
The British, it is likely to go primarily to the customer relationships of the AAB
In 2002, LVM, one of Germany’s largest motor Vehicle had been purchased by the insurer, the AAB of the Alliance. With the Acquisition, the insurer wanted to strengthen at the time, his Position in the pensions and asset management. But in the meantime, city residents have lost the desire to the business: The Bank is making losses and is in need of money for investments. For the sale of Fund through own representatives, the LVM does not need Bank.
Ebase is in the core business, yet one of the most important competitors of the Augsburger aktienbank. The administered customer assets amounted to € 34 billion, the company has around 300 employees. Ebase was founded in 2002 and 2018 by Commerzbank for EUR 154 million at FNZ sold. The purchase was 2019 effective. Chief of the Online banks are very experienced Manager, Kai Friedrich, the FNZ to just got a as a successor of Rudolf Geyer, Ebase is. Geyer was 17-years-in-chief in Aschheim.
In the case of the AAB Acquisition, it is likely that the British, primarily to the customer relationships of the AAB. IT can make use of hardly. Probably will focus FNZ on a site in Germany, the number of employees there is likely to be noticeable incisions.
The management of the Fund on service providers and the use of external IT platforms – will, if possible, under their own name – for the financial industry is becoming more and more important. The low interest rates ensure that the companies need to reduce costs, if you want to stay competitive. Because the management always pays less, providers like FNZ bring clear advantages in the market.
For the nearly 60-year-old AAB, the sale would likely mean the end as an independent institution. The AAB was yet proud of a good working climate with short Paths and flat hierarchies.
A negative impact was noticed in the case of many employees, the Bank invested little in the technology. But the Board was regarded as reliable, especially Bank-in-chief Lothar Behrens had a very good reputation. Since then, the SZ reported for the first time on the sales plans of the owner LVM, the mood is in the basement.