SINGAPORE - OCBC is acquiring British bank Barclay's wealth and investment management (WIM) businesses in Singapore and Hong Kong for US$320 million (S$430.85 million).

Its private banking subsidiary, Bank of Singapore, entered into an agreement to acquire the businesses, OCBC announced on Thursday morning (April 7).

OCBC beat DBS Group Holdings, the other bidder left in the race, sources with told Reuters, after a competitive bidding process that saw several Asian and European bidders taking interest in the initial round.

With the addition of the Barclays wealth and investment management unit in Singapore and Hong Kong, OCBC's Bank of Singapore unit will see its assets under management rise by about 33 per cent to US$73.3 billion.

"The acquisition of Barclays WIM Singapore and Hong Kong furthers OCBC Bank's strategic goal of deepening its presence in its four core markets - Singapore, Malaysia, Indonesia and Greater China - and particularly expands its wealth management business," the bank said on Wednesday.

"At the same time, it strengthens Bank of Singapore's position as Asia's global private bank and enhances value for Barclays WIM Singapore and Hong Kong clients."

OCBC said Bank of Singapore has sufficient financial resources, through its own internal cash, to fund the acquisition.

The purchase price was set at 1.75 per cent of Barclays WIM Singapore and Hong Kong's assets under management (AUM) that will be transferred to Bank of Singapore upon the completion of the transaction.

Based on Barclays WIM Singapore and Hong Kong's AUM of US$18.3 billion at Dec 31, 2015, the indicative purchase price is US$320 million.