Victory Capital and Amundi today announced the successful completion of their previously disclosed transaction. As part of the deal, Amundi US has merged with Victory Capital, which now manages nearly $300 billion in assets.
Amundi has become a strategic shareholder in Victory Capital, marking a significant step forward. The two companies have also entered into 15-year reciprocal distribution agreements, which are now in effect.
Under these agreements, Amundi will distribute Victory Capital’s US-manufactured active asset management products outside the US, while providing non-US manufactured products to Victory Capital for distribution within the US.
In consideration for the Amundi US business, Amundi received 17.6 million shares at closing, or 21.2% of Victory Capital’s equity. Post-closing adjustments and the contribution agreement are expected to increase Amundi’s equity interest to 26.1% in the coming months.
The transaction, which does not include any cash consideration, is expected to significantly increase the contribution from US operations to the company’s results, leading to low single-digit accretion in adjusted net income and EPS.
Valérie Baudson, CEO of Amundi, commented: “Thanks to this transaction with Victory Capital, clients can access a broader range of high-performing US investment solutions, while we look forward to providing Victory Capital’s clients with our expertise and products. This value-creating deal strengthens our presence in the US with a larger investment and distribution platform.”
