UniCredit SpA and Banco Santander SA reached an agreement to merge their asset-management businesses in a transaction valuing the combined entity at about 5.4 billion euros ($5.8 billion).

The accord will create a holding company, that will control combined operations of UniCredit's Pioneer, excluding its U.S. activities, and Santander Asset Management, and will own Pioneer's U.S. business. The two lenders will each hold one third of the new combined business, while U.S. buyout firms Warburg Pincus and General Atlantic will own the rest. UniCredit and the funds will own Pioneer's U.S. business.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.