SINGAPORE - Indosuez Wealth Management announced on Thursday (July 13) that it had reached an agreement with Credit Industriel et Commercial (CIC) to acquire the latter's private banking operations in Singapore and Hong Kong.

The parties entered into exclusive negotiations on June 16.

As part of the transaction, Indosuez in Asia will incorporate CIC's private banking teams in Singapore and Hong Kong, adding to the staff the group currently employs in Asia. After completion of the transaction, Indosuez will have assets under management (AUM) of US$14 billion (S$19.3 billion) in Asia.

The acquisition is expected to close by the end of this year, and remains subject to regulatory approvals.

Indosuez chief executive officer Pierre Masclet said the company has a "long-standing presence in this market, having set up in Hong Kong in 1894 and in Singapore in 1905. The addition of CIC's private banking operations in these markets further cements our commitment for the future in the region".

Asia is the fastest growing region in the world for wealth management, with an expected 10 per cent annual growth in the coming years, said Indosuez. In five years, Asia's weight in global private banking AUM worldwide will be above Europe's and probably constitute the largest pool of wealth globally, it added.