PARIS, April 16 (Reuters) - Amundi, Europe's

largest asset manager, said on Tuesday it had formed a strategic

partnership with U.S. peer Victory Capital ( VCTR ) whereby

Amundi would end up with a 26.1% stake in Victory Capital ( VCTR ).

Amundi US would be combined into Victory Capital ( VCTR ) in exchange

for a 26.1% economic stake for Amundi in Victory Capital ( VCTR ), with

no cash payment involved, it said in a statement.

"The proposed transaction with Victory Capital ( VCTR ) is a unique

opportunity to strengthen our presence in the U.S., while

becoming a strategic shareholder in a reputable U.S.-based asset

management firm with an excellent track record of growth," said

Amundi CEO Valerie Baudson.

(Reporting by Sudip Kar-Gupta; Editing by Inti Landauro)