UBS has announced the acquisition of structured products boutique Luxembourg Financial Group for a total of €25m.
Yassine Bouhara, co-head of global equities at UBS said the acquisition will strengthen UBS' multi-asset class product range.
"Continuing with our ongoing client focused strategy, the acquisition of LFG gives UBS the opportunity to build on what already exists within the bank and expand further. We are acquiring a company with a well respected management team and their top tier structured product platforms," he said.
According to the agreement, UBS will buy 100% of the shares of LFG Holdings S.A., the parent company, and the LFG Group will become part of UBS's global equities division within the investment bank.
The acquisition, said UBS, will be an important building block in achieving its goals for the Swiss bank's global equity derivatives and global synthetic equities businesses.
LFG was founded in 2007 and has offices in Luxembourg and London, Stamford (US) and Bahrain. The firm, which is headed by Johan Groothaert, formerly head of Deutsche Bank investment products group, was backed its own management as well as minority held by Deutsche, MM Warburg & Co and Feedback AG.