Amundi to buy UniCredit's Pioneer for 3.5b euros

Paris

AMUNDI SA has agreed to buy Pioneer Investments from Italy's UniCredit SpA, accelerating the French investment company's growth in the US and European markets including Germany and Austria.

Amundi will pay about 3.5 billion euros (S$5.3 billion) in cash, the Paris-based company controlled by Credit Agricole SA said in a statement on Monday. It will pay for the purchase with a combination of a 1.4 billion-euro capital increase, about 600 million euros of senior subordinated debt and about 1.5 billion euros in existing capital.