Milan & Paris, 21 January 2025 – Assicurazioni Generali S.p.A. (“Generali”) and BPCE today announce that they have signed a non-binding Memorandum of Understanding (“MoU”) to create a joint venture between their respective asset management operations Generali Investments Holding (“GIH”) and Natixis Investment Managers (“Natixis IM”). BPCE (through Natixis IM) and GIH would each own 50% of the combined business with balanced governance and control rights.
Overview of the proposed joint venture
- Creation of a major global champion, with €1.9 trillion in assets under management, ranking #9 worldwide by AUM, and the leader in asset management in Europe with €4.1bn in revenues.
- Critical scale in the fast-evolving asset management market, leveraging a complementary geographical presence in France, Italy, and the United States, along with diversified expertise and a broad range of high-quality investment affiliates and teams.
- #1 in insurance asset management by AUM worldwide with clear pathway to further grow the platform as a global leader well-positioned to further expand in the growing third-party insurance asset management segment. BPCE and Generali would retain full authority over asset allocation decisions for their respective assets.
- Enhanced offering in private assets to meet the growing expectations of clients in these asset classes. To achieve this strategic goal, the newco would notably capitalize on the seed commitment and permanent capital provided by Generali.
- Global distribution capabilities to serve all types of client needs with innovative, diversified investment strategies and solutions.
- Potential to unlock value through a powerful combination achieved with the scope of assets brought by BPCE and Generali, a €15 billion seed money commitment from Generali, as well as via synergies and growth opportunities.
- A 50-50 co-controlled business, building upon a long-term asset management commitment by BPCE and Generali underpinned by 15-year contracts. BPCE to benefit from preferred dividend rights over 2026 and 2027, while Generali would benefit, over the same period, from the repayment tranches of a loan related to the financing of the recently announced MGG acquisition.
- Balanced governance structure reflecting the co-control with BPCE’s CEO, Nicolas Namias, as Chairman of the Board, and Generali’s CEO, Philippe Donnet, as Vice Chairman. Woody Bradford, the current CEO of GIH, would serve as CEO of the entity, and Philippe Setbon, the current CEO of Natixis IM, as Deputy CEO.
- Unique opportunity to deliver tangible benefits for all stakeholders, including investors, retail and institutional clients, affiliates as well as employees with a clear focus on growth, innovation, sustainability and performance.
- The parties’ respective employee representative bodies will be consulted before any definitive transaction documents are signed. The closing of the potential combination would be subject to customary regulatory approvals and expected by early 2026
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