The proposed sale of AXA’s €844 billion investment management business to BNP Paribas could see the creation of two enlarged real estate and infrastructure fund managers with assets under management (AUM) of €108 billion and €19.7 billion, respectively.
The French insurer announced that it had entered into an exclusive negotiation to sell AXA Investment Managers to French banking group BNP Paribas for €5.1 billion.
Under the terms of the proposed transaction, AXA and BNP Paribas would enter into a long-term strategic partnership under which BNP Paribas would provide investment management services to AXA.
The deal would see BNP Paribas taking on a larger investment management business, boosting its total AUM to approximately €1.5 trillion.
This would include AXA IM Alts, which manages €82 billion in private real estate, €90 billion in private debt and alternative credit, and €17 billion in infrastructure.
At the end of 2023, BNP Paribas Real Estate Investment Management managed €26.1 billion in real estate assets, while BNP Asset Management managed €2.7 billion in infrastructure investments.
It is unknown how the merger will affect the real assets investment businesses of both companies.
Source: realassets.ipe.com on the 2nd of August