Amundi is to acquire the remaining 49.96% stake in fund distribution platform Fund Channel and will become the sole owner of the business.
The €1.6 trillion ($1.87 trillion) money manager founded the platform and sold the stake to BNP Paribas Asset Management in 2009. The repurchase is expected to be completed by the beginning of next year, subject to regulatory approval, a news release said.
The repurchase "followed a strategic review by (BNP Paribas Asset Management) which led them to exit Fund Channel and which Amundi acquired," an Amundi spokesman said in an email.
Fund Channel has more than €200 billion in assets under intermediation, with 550 money managers and 100 distributors using its services. Amundi and Fund Channel said they plan to achieve an annual growth rate of more than 15% following the repurchase.
"Amundi has always considered Fund Channel as a strategic activity that is part of its historically distribution services business," said Guillaume Lesage, chairman of Fund Channel and head of operations, services and technology at Amundi, in the news release. "In becoming its sole shareholder once again, Amundi intends to develop Fund Channel's offering to confirm its role as a key player in the fund distribution business."
A spokesman for BNP Paribas Asset Management confirmed the disposal of the Fund Channel stake and highlighted the completion of the firm's strategic agreement with Allfunds, which will further develop fund distribution services.