The transaction entails the assets held by HSH Nordbank Private Banking’s private clients, who are mostly German.
The acquisition is expected to take legal effect in the second half of the year.
The corresponding agreement has been approved by the boards of directors of both banks.
Banque de Luxembourg head of Private Banking Luc Rodesch said together with Belgium, Germany is one of the countries in which the effects of the financial crisis have prompted numerous investors to seek confidence-inspiring and specialized alternatives to the offerings available in their home country.
"We are therefore very pleased to welcome this new clientele whose expectations we are very familiar with given our many years of experience in Germany," Rodesch said.
Financial details weren’t disclosed.
HSH Nordbank’s total assets were valued at around EUR150bn at the end of 2010, while consolidated net income for 2010 came in at EUR48m.
