Julius Baer and Milan-based Kairos Investment Management, an independent Italian wealth manager with approximately Euro 4.5 billion of assets under management, have reached a major milestone with the completion of its strategic partnership. The combined business in Italy operates under the name ‘Kairos Julius Baer SIM SpA’ as of 1 June 2013.
After receipt of the approval from the Bank of Italy and the finalization of all necessary technical steps, the completion of the transaction took place on 31 May 2013. On that day Julius Baer acquired a stake of 19.9% in Kairos to which it contributed its Italian asset management company Julius Baer SIM in line with the announcement on November 12, 2012. During the integration phase the combined business operating under the joint brand ‘Kairos Julius Baer SIM’ will apply for a banking license to the Bank of Italy in order to set up a new private bank in Italy.
Boris F.J. Collardi, CEO of Julius Baer, commented: “Since November both partners have closely and successfully collaborated to reach this important milestone. Now we look forward to jointly developing a truly dedicated wealth management business which will significantly strengthen our long-term position in Italy.”
Management structure unchanged as announced on 12 November 2012
Paolo Basilico, President and CEO of Kairos, and his partners are running the business of ‘Kairos Julius Baer SIM’ with the established Kairos team and the Julius Baer SIM staff, pursuing the same client-centric strategy as in the past. Julius Baer is represented on the Board of Directors of Kairos Julius Baer SIM with two members, Fabrizio Rindi, Chairman of the new entity, and Loris Vallone, Head Business Development Region Switzerland. Giovanni M.S. Flury, Head Region Switzerland, and Marco Mazzucchelli, Head of Private Client Services, are representing Julius Baer on the Board of Kairos Investment Management SpA, the holding company.
Both parties together will decide on a future increase of Julius Baer’s strategic participation after a few years. The terms of the transaction have not been disclosed.