Asset servicing bank Caceis has signed a preliminary agreement to acquire Royal Bank of Canada’s (RBC) investor services business in Europe.
Announced on 14 October, the firm said it expects to complete the acquisition by the end of Q3 next year and predicted it would see return on investment of more than 10% over three years.
Caseis added the move would enhance its position as a leader in asset servicing in Europe. At the end of Q1, it housed €4.8trn assets under custody and €3.5trn assets under administration.
Caceis’s parent company, Crédit Agricole, said the acquisition would have less than a 10-basis point impact on its core cash position.
The move would also continue the French banking giant’s run of major deals after another portfolio company, Amundi, acquired fellow French asset manager, Lyxor, for €825m in January.
It also caps off an active year for deals in the asset servicing industry, after State Street acquired the investor services arm of Brown Brothers Harriman for $3.5bn last September, before Euronext were rumoured to be considering a move for settlement bank Euroclear.