BV Investment Partners’ Sale of Butterfield Fulcrum Hits Final Round

Final bids for Butterfield Fulcrum, which is backed by BV Investment Partners, were due last week, sources tell peHUB.

Some PE firms, along with a Japanese bank, are believed to bidding, a strategic investor says. State Street could also be involved, two source says.

BV acquired Butterfield from 3i Group in February 2011.

Earlier this year, the PE firm hired Evercore to advise on a sale, several sources say. The auction was expected to draw interest from firms such as SS&C, Aquiline Capital Partners and State Street. However, it’s not clear if any did bid. Butterfield will likely fetch from $200 million to $250 million, sources say.

Bermuda-based Butterfield is a hedge fund administrator and service provider to the alternative investment industry. Butterfield reportedly had $70 billion in assets and served more than 700 funds when it was sold to BV in 2011.

Butterfield has become a “much better business” since BV acquired it two years ago, the strategic source says. “[BV] hasn’t had it very long to be selling it again,” the person says. “It takes a while to turn around a business model that was so India service centre focused. But they’ve made some good progress.”

Founded in 1983, BV Investment Partners is the PE firm formally known as Boston Ventures. The firm changed its name to BV Investment Partners in 2010. BV invests in information & business services, communications, publishing and media, according to the firm’s web site.

Officials for BV declined comment. Butterfield, State Street and Evercore could not immediately be reached for comment.

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