Three bidders emerge for Pioneer AM, sources say

Business-Handshake-Finance-Deal-700.jpgThree main bidders have reportedly emerged to buy UniCredit’s fund management arm Pioneer Asset Management.

Italian insurer Assicurazioni Generali, French fund group Amundi, and an Italian consortium led by Poste Italiane, are the three groups that have made offers for the fund group, sources told Reuters.

Other potential bidders were Axa and Natixis, Macquarie, Allianz and Aberdeen Asset Management.

Sources say UniCredit is trying to raise up to €3bn from the sale of Pioneer, as the Italian lender tries to fill a gap in its capital requirements estimated to be as big as €8bn.

A report this week said a sale of Pioneer would add between 0.5 and 0.6 percentage points to UniCredit’s core capital adequacy ratio.

The sale process, which will be led by JPMorgan and Morgan Stanley, will progress in the coming weeks, the sources also said, with UniCredit granting access to Pioneer’s books ahead of a deadline for binding offers in late October, the sources added.

A Pioneer spokeswoman declined to comment on the “ongoing speculation”, while UniCredit was not immediately available for comment.

In July, UniCredit agreed with Banco Santander to end the talks of a potential tie-up with Pioneer, which would have created a €400bn asset manager.

The deal faced troubles following the UK’s decision to exit the EU, with insiders saying it has changed the outlook for the deal.