In line with the agreement announced on 9 July 2024^[1]:

• Amundi US has been combined with Victory Capital which is now managing close to $300bn^[2] of assets
• Amundi has become a strategic shareholder of Victory Capital
• Amundi and Victory Capital have entered into 15-year distribution reciprocal agreements, which are now effective.

Under these distribution agreements, Amundi will distribute Victory Capital’s US-manufactured active asset management products outside of the US. Additionally, Amundi will be the supplier of non-US manufactured products for Victory Capital’s distribution in the US.

As consideration for the Amundi US business, Amundi received a total of 17.6 million shares at closing, or 21.2% of equity^[3] in Victory Capital.  As the post-closing transaction adjustments progress and in accordance with the contribution agreement, we anticipate Amundi’s total equity interest to reach 26.1%3 in the following months.

The transaction, which does not include any cash consideration, is expected to result in a material increase in the contribution from US operations to Amundi’s results, leading to a low single-digit accretion of the adjusted net income and EPS of Amundi.

Valérie Baudson, Chief Executive Officer of Amundi, commented: “Thanks to this transaction with Victory Capital, Amundi’s clients can access a broader range of high-performing US investment solutions, while we are looking forward to providing Victory Capital’s clients with Amundi’s expertise and products. With this value-creating deal, Amundi has strengthened its presence in the US via a larger US investment and distribution platform.”

Source: Amundi