Dutch financial group ABN Amro announced Monday evening that it is to acquire German private bank Hauck Aufhäuser Lampe, a move that will enable it to strengthen its wealth management activities in the country.

In a press release, ABN states that it has completed the acquisition of Hauck Aufhäuser Lampe from China's Fosun International for 672 million euros.

With this transaction, Bethmann Bank - its private banking subsidiary in Germany - will become one of the country's leading institutions for high net worth, family inheritance and institutional clients.

Taking into account the 26 billion euros in assets under management contributed by Hauck Aufhäuser Lampe, its portfolio will thus increase to some 70 billion euros in assets.

On the Amsterdam stock exchange, investors welcomed the acquisition as "accretive", with a gain of around 0.8%, while the AEX index was broadly stable.

While the target is expected to be capital accretive, we expect that once the transaction is incorporated into forecasts, it will also result in a downward revision of estimates in terms of future share buybacks", warn UBS analysts.

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