Kairos, an Italian company active in the asset management sector, announces that it has reached an agreement with Julius Baer, the Swiss private bank with the greatest international presence, for the creation of a center of excellence in the Wealth Management sector.
The combination of the private banking activities of the two Groups will flow into Kairos Julius Baer Sim spa. The transaction is expected to be closed within the first half of 2013, following approval by the supervisory bodies. In a second step, the parties will consolidate the project with the opening of a private bank in Italy, requesting the necessary authorizations from the competent bodies.
The agreement provides for the integration of Julius Baer Sim SpA into Kairos, while the Swiss group will acquire a minority stake equal to 19,9% of Kairos. Julius Baer Fiduciaria Srl will not be a party to this transaction and remains a wholly owned subsidiary of Julius Baer. After a few years both parties will decide together on a possible increase in their stake. With this operation, Kairos achieves the objective of expanding the range of services through the offer of open architecture management, broad-spectrum management consultancy and, more generally, a global platform. From a product company it has evolved towards Wealth Management capable of responding to the broader needs of private and institutional clients.
Paolo Basilico will be Chief Executive Officer of Kairos Julius Baer SIM and will continue to manage the activities of the new company together with the historical partners Kairos and the current team. Julius Baer will be represented on the Board of Directors by two members.
Born in 1999, Kairos is one of the very few independent companies in the Italian asset management sector. The Company led by Paolo Basilico is a Group with 116 employees, 15 partners, offices in Milan, Rome, Turin and in the main international financial centres. Kairos, which manages a total of around 4.5 billion euros, has grown rapidly since its inception, becoming one of the most important brands in our country in the field of independent asset management.
Paolo Basilico, President and CEO of Kairos, said: “This is an important project for our sector in Italy but above all for our current and future customers. Two excellences come together with some similar characteristics, such as independence, a pure business model focused on management, company results that are always positive and capable of supporting the investments necessary to attract and develop skills. But above all, two Groups are uniting and demonstrating with this operation that they believe in our country by launching a long-term industrial project”.
“The operation – concluded Basilico – regards the private banking activities of the Group while the fund management activity will continue to be headed by Kairos Partners SGR”.
Boris FJ Collardi, Chief Executive Officer of Julius Baer, commented: “It is with great pleasure that we enter into a partnership with one of the leading independent companies in the asset management sector in Italy. Thanks to this strategic participation, we will increase our presence in the Italian Wealth Management market. We believe that Kairos' private banking know-how and reputation can contribute to our ambitious plans in Italy. This step testifies to our commitment to grow and develop our business in Italy”.
