Asset management firm BlackRock has entered an agreement to purchase Credit Suisse’s ETFs business as part of plans to expand its existing passive strategies range.
The Swiss investment firm manages $17.6 billion across 58 funds in its ETFs range, which includes funds domiciled in Switzerland, Ireland and Luxembourg.
BlackRock said the deal, which is still subject to regulatory approval, will bolster its existing iShares passive strategies range. This is both through increasing the number of local market products in its fund range and increasing its presence in the Swiss funds market.
BlackRock currently has a Zurich office with over 50 employees but it intends to increase this presence through the sale.
Upon completion, the expanded iShares EMEA ETF range will comprise 264 ETFs with $157.6 billion in assets under management, according to data from December 2012.
The transaction is expected to complete by the end of the second quarter of 2013. The terms of the transaction were not disclosed.
Commenting on the deal, Laurence Fink (pictured), chairman and CEO of BlackRock, said: ‘This transaction keeps with BlackRock’s growth strategy in the region and provides the necessary scale and presence in the market to further enhance our product suite and deliver client solutions in Switzerland and all of Europe.’