Banco Santander has agreed to buy back the 50 per cent stake in its asset management business that is currently owned by private equity funds.
It is also eyeing a sale or listing of its Allfunds platform.
The asset management deal will give the Spanish bank full control of a division with €170bn assets under management with operations in 11 European and Latin American countries.
US buyout firms Warburg Pincus and General Atlantic decided to sell their stakes after talks to merge the asset management divisions of Santander and Italian bank Unicredit fell through, a source told Reuters.
Allfunds, which has more than €200bn assets under management, is jointly owned by Santander and Italy’s Intesa Sanpaolo.