Allianz Global Investors (AllianzGI) said today that it has entered into an agreement to acquire UOB Asset Management (UOBAM), the asset management business of Singapore-headquartered UOB Group.

The transaction will strengthen AllianzGI’s business in Asia Pacific, bringing the assets it manages for clients in the region to more than EUR 170bn ($196bn), and enabling the combined business to develop a market-leading client experience for investors throughout Southeast Asia, according to a statement by the Frankfurt-headquartered asset manager.

Subject to regulatory approvals, it is expected to be completed in 2027, with a purchase price of SGD 555m ($434m), including excess cash and the distribution agreement.

The proposed acquisition of an established on-the-ground asset management platform would provide access for AllianzGI to markets including Thailand, Malaysia and Vietnam. It will also provide an opportunity to further scale AllianzGI’s business in markets where it has an established presence, including Singapore, Taiwan and Indonesia.

In particular, the combined platform is intended to offer AllianzGI strengthened South-East Asian investment expertise, including regional and single-country equity strategies and Sharia-compliant offerings.

Distribution deal

The transaction is accompanied by a distribution agreement which provides long-term access to the retail client network of UOB.

UOB is the third largest bank in South-East Asia by total assets, with over 8 million clients and around 400 regional branches. Through the distribution agreement, AllianzGI will have the opportunity to offer its global investment products to an broader range of investors across South-East Asia.

Tobias Pross, CEO of Allianz Global Investors, said: “UOBAM is one of Southeast Asia’s leading asset managers, with very well-regarded investment capabilities and a strong distribution network. Adding their complementary Southeast Asian investment expertise to our global platform will boost our combined offering and significantly accelerate our growth in this dynamic region.

“Reinforcing our long-term commitment to broadening the reach of our investment offering in South-East Asia, this deal provides us with deeper market connectivity and opens new opportunities to engage with an expanded base of clients. With a strengthened regional presence, we will be able to serve an even broader range of investors, providing them with access to a wider range of innovative wealth management and retirement solutions that help them meet their investment objectives.” 

Wee Ee Cheong, deputy chairman and chief executive officer, UOB, said: “This partnership sharpens our focus on wealth advisory and distribution. By combining UOB’s advisory expertise and customer relationships with Allianz Global Investors’ investment capabilities, we are well positioned to meet our customers’ evolving needs and support their long-term wealth goals.”

“This also enables us to accelerate wealth management growth while enhancing long-term shareholder value. During the transition period, maintaining continuity for customers and employees is our priority.”