On completion of the transaction, the acquired entity will be re-branded as Amundi Smith Breeden and will trade as a fully-owned subsidiary of the French firm.
Amundi CEO Yves Perrier said that the integration of both companies will boost the range and the quality of its fixed income offerings for its clients.
Subject to the approval of concerned regulatory offices as well as clients and shareholders’ approval, the acquisition is expected to close by the end of September 2013.
The acquisition will enable the French firm to provide asset management insight into US dollar products to its institutional and corporate clients in Europe, Asia and the Middle East.
For Smith Breeden, the transaction will boost its relationships with US clients, while allowing it to take the advantage of Amundi’s global investment, research, client servicing and operating resources.
Amundi North America senior regional officer Patrick Pagni will be appointed as the new executive chairman of the new company, while Mike Giarla will remain serving as the CEO.
The new company will operate as part of Amundi’s Fixed Income organization and no change will be made in Smith Breeden’s investment process or employees.
With nearly €750bn asset under management (AUM), Amundi delivers a complete range of products covering all asset classes and major currencies in about 30 countries.
