German bank Hypo Vere ins bank has sold its majority shareholding in UK fund manager Foreign & Colonial for £414m to European financial services group Eureko.
The deal ends months of speculation after the Ger man bank announced its decision to seek a buyer last September.
An F&C spokesman says it is business as usual at the fund manager and it intends to go ahead with the launch of several new unit trusts aimed at the IFA market at the end of Feb ruary, a move it announced last autumn.
Eureko's asset management business, EGAM, will be combined with F&C under the F&C brand. The new entity will have £75.6bn in funds under management.
F&C chief executive Robert Jenkins will bec ome chief executive officer of the new business which will be based in London. The rest of the F&C board will also remain in place.
Head of UK retail Philip Childs says: “The incoming shareholder is fully supportive of the UK retail strategy and so it is business as usual. We are int ending to go ahead with the new product launch.”
Eureko chief executive João Talone says: “This acquisition affirms the commitment of the group to the asset management business and positions the future enlarged F&C as a leading pan-European asset management company.”