Crédit Agricole S.A. and Santander are to combine their custody and asset servicing operations.
The new entity would combine CACEIS, the custody and asset servicing business of Crédit Agricole S.A., and the Spanish, Brazilian, Mexican and Colombian activities of S3, Santander’s custody and asset servicing business.
Crédit Agricole S.A. and Santander would hold 69.5 percent and 30.5 percent of CACEIS, respectively. The Latin American operations of S3 would be jointly controlled by CACEIS and Santander.
According to Crédit Agricole S.A. and Santander, this enhanced growth potential combined with expected commercial and industrial collaboration should result in long-term value increase for all stakeholders.
Jean-Francois Abadie, current CEO of CACEIS, is expected to become CEO of the new entity and Carlos Rodriguez de Robles, current general manager for S3, is expected to lead the Spanish and Latin American activities.
The completion of the transaction will be subject to customary closing conditions, including regulatory approvals and is expected to take place by the end of 2019.
Ana Botín, executive chairman of Santander, said: “S3 and CACEIS are highly complementary businesses, and by working together we can create a custody and asset servicing platform that leverages our collective scale and global presence, and offers clients a comprehensive service that can support their ambitions and help them to prosper.”
Philippe Brassac, CEO of Crédit Agricole S.A., commented: “We are very proud to envisage this long-term collaboration with Santander in order to create a major player in custody and asset servicing with further growth prospects for the group.”
Jean-François Abadie, CACEIS CEO, said: “CACEIS and S3 are highly complementary from a geographic, client and service offering perspective. With very similar cultural and industrial approaches, our two organisations, once united, would deliver significant value for all our stakeholders.”
