Mofid Securities, one of Iran’s largest independent brokerage and financial advisory firms, has announced it has entered into a new partnership agreement with Italy’s Azimut Group, according to a press release released by the Tehran firm on October 9.

Azimut becomes the first globally recognised financial institution to buy a significant equity stake in an Iranian financial firm - and its move comes just days ahead of a possible US pullout from the 2015 nuclear deal which with the removal of crippling sanctions opened the way to foreign investors wanting to invest in Iran.

Azimut is to buy a 20% stake in Mofid Securities for an undisclosed sum. Sources close to the company said Azimut wanted to purchase a larger stake, but Mofid declined the request.

Through AZ International Holdings S.A., Azimut will purchase its stake from Mofid Entekhab while Mofid holding group will remain the majority shareholder.

Azimut and Mofid will also participate pro rata in a capital increase to finance a business plan to develop a range of investment strategies in local asset classes.

The two firms also intend to build a locally trained sales force to provide financial advisory and wealth management services and launch offshore funds for foreign investors.

“Today we are making a historical first step for a global player entering the Iranian financial market. We see the Group pioneering untapped opportunities of a frontier market which has, in fact, the full credentials of a large advanced emerging market,” Sergio Albarelli, CEO of Azimut Holding, said in the press release.

Mofid Entekhab currently manages $89mn across six mutual funds and managed accounts, and holds an 8% market share of the country’s equity market.