The Family Office space witnesses merger and acquisition (M&A) activity from time to time. Such activity allows firms to expand into new markets without having to make significant investments in infrastructure and client acquisition. The latest transaction in this sector saw Banque Bonhôte & Cie acquiring Private Client Partners (PCP) for an undisclosed fee. This transaction will allow Banque Bonhôte to strengthen its position in the Swiss market. In particular, Banque Bonhôte will be able to expand its reach in the French and German-speaking areas of the country.
PCP is headquartered in Zurich and offers family office services for UHNWIs. Its key offerings include administration, asset consolidation, and wealth management. PCP’s total assets under management stand at approximately $2 billion. The company was previously owned by M. M. Warburg & Co, but will now become a wholly-owned subsidiary of Banque Bonhôte. Although Beat Widmer has been given the responsibility to manage the new subsidiary, PCP founder Andreas Bodenmann will continue to remain active.
Since Banque Bonhôte is based in Neuchâtel, Switzerland, the newly acquired entity will also be moved to the city. In addition to Neuchâtel, Banque Bonhôte also has operations in Biel/Bienne, Berne, Solothurn, Lausanne, and Geneva. The bank has also announced a new office in Zurich. The new unit will primarily focus on the bank’s French-speaking clients, although it will also cater to international customers.
“This transaction places us in the category of banks with CHF 5 to 10 billion under management. It allows us to establish ourselves in the centre of Zurich by the River Limmat. In terms of both its location and the nature of its services, this entity is exactly what we have been looking to acquire in order to enhance our service offering for our UHNW clients.”Jean Berthoud, Chairman of Banque Bonhôte
It will be interesting to see whether this acquisition actually helps Banque Bonhôte in establishing itself in the highly-competitive Family Office space in Zurich.