EFG International has announced a profit increase for the recent fiscal year. The Swiss bank also revealed plans to acquire private bank Cité Gestion. The acquisition aims to strengthen EFG’s position in the competitive banking sector.
It underscores the company’s commitment to expanding its influence in private banking. EFG’s headquarters in Zurich will play a crucial role in integrating Cité Gestion. The acquisition is expected to enhance EFG’s service offerings and provide greater portfolio management capability to clients.
The deal may also introduce a new customer base to EFG. This could drive growth and innovation within the company. EFG’s CEO expressed optimism about the acquisition.
He emphasized how combining resources and expertise with Cité Gestion will bring substantial benefits for both institutions and their clients. Further details of the acquisition terms and financial specifics have not yet been disclosed. The deal is subject to regulatory approvals and customary closing conditions.
Profit growth and acquisition plans
This latest development indicates EFG’s proactive strategy in adapting to the evolving financial landscape. It shows the bank’s commitment to maintaining a competitive edge through strategic acquisitions.
EFG generated a net profit of 321.6 million francs for 2024, a 6 percent increase compared to 2023. The bank attracted net new assets of 10.1 billion francs in 2024. This corresponds to a net new asset growth rate of 7.1 percent, exceeding EFG’s target range of 4-6 percent.
All of EFG’s business regions recorded strong growth momentum and net inflows during the reporting year. Revenue-generating Assets under Management increased by 16 percent year on year. They totaled 165.5 billion francs at the end of 2024, compared to 142.2 billion francs at the end of 2023.
For the financial year 2024, EFG will propose the payment of an ordinary dividend of 0.60 francs per share at the Annual General Meeting. This is the highest dividend ever in EFG’s history and corresponds to a 9 percent increase compared to the prior year. It marks the fourth consecutive increase in the distribution to shareholders.
The dividend will once again be exempt from Swiss withholding tax.
