FNZ considers sale of FNZ Bank Deutschland- report

Core Insights - FNZ Group is considering selling its German custody banking subsidiary, FNZ Bank Deutschland, for up to €500 million ($579 million) [1] - The subsidiary oversees approximately €140 billion in assets and provides platform services to insurers, lenders, and wealth managers [2] - The potential sale aligns with FNZ's strategic shift under CEO Blythe Masters, focusing on profitable growth and core wealth management capabilities [3][4] Company Strategy - FNZ has engaged advisers to explore the sale, indicating that discussions are in early stages [1] - The company aims to divest assets that require significant regulatory capital or are not aligned with its core business [3] - Blythe Masters, who succeeded Adrian Durham as CEO, emphasizes a focus on areas that support FNZ's core wealth platform capabilities [3][4] Financial Context - FNZ was valued at $20 billion in a 2022 funding round and recently secured $650 million in new equity funding [3] - The acquisition of FNZ Bank Deutschland from Commerzbank in 2019 was for €154 million ($178 million) [1][2]