Apex Group Ltd, a Genstar Capital portfolio company, said Feb. 26 that it acquired Beacon Fund Services Ltd, Beacon Corporate Services Ltd and Beacon Management Ltd. Financial terms weren’t announced. Beacon, of Bermuda, is a fund administrator.
HAMILTON, Bermuda, Feb. 26, 2019 /PRNewswire/ — Apex Group Ltd. (“Apex”), the world’s fifth largest fund administrator, announced the acquisition of Beacon Fund Services (Bermuda) Ltd, Beacon Corporate Services Ltd and Beacon Management Ltd (“Beacon”). Apex is a portfolio company of Genstar Capital.
The acquisition of Beacon, a well-established Bermuda-based fund administrator, adds further weight to Apex’s hedge fund administration, corporate services and transfer agency solutions, while also adding $10bn in assets under administration (“AuA”) to the Group’s portfolio.
Headquartered in Bermuda, Beacon was established in 1995 and delivers sophisticated service offerings to both offshore and domestic hedge funds and other international entities. Beacon’s addition to the Apex Group is another strong strategic and cultural fit given its independent business model and focus on delivering a personal approach customer service.
Beacon clients will see immediate value from the transaction, gaining access to an additional 28 jurisdictions as well as custody and depositary solutions plus corporate services, while retaining the value of working with an independent provider.
This acquisition is the latest in a series of strategic transactions from Apex taking its AuA to $610 billion making it one of the largest service providers in the global fund administration space. In January this year the Group also signified its intention to branch out into the wider financial services market through the acquisition of the Corporate and Private Client Services (“CPCS”) and Throgmorton businesses of Link Group’s Asset Services division, further enhancing its offering to deliver a full global outsourcing solution.
Terms of the agreement are not being disclosed. The transaction is subject to customary closing conditions, including regulatory approval and is expected to be completed in Q2, 2019.
Peter Hughes, Founder & Chief Executive Officer, Apex Fund Services, said:
“We have been focusing on expanding our capabilities into new markets over the past twelve months, evident through the like of the Link Asset Services and Warburg acquisitions, yet the addition of Beacon demonstrates our simultaneous dedication to continuing to improve and build-out the core service areas that Apex was founded on. As Apex itself was also established in Bermuda, this is a natural fit to expand our presence on the Island and I am looking forward to welcome the team to the Apex Group.”
Nitin Aggarwal, Chief Executive Officer, Beacon Fund Services, said:
“At Beacon we have built our business on tailoring service solutions and opening up opportunities for our clients. Becoming part of the Apex Group at this exciting time of groundbreaking expansion will bring great opportunities to both our clients and employees, and is the next natural step in an ever-globalised asset management space. The range of products and services that will now become available to our clients, including cross-jurisdictional capabilities and expertise across multiple asset classes is extremely valuable. We feel that we have found the right home with Apex due to its ongoing commitment to expanding its service portfolio while maintaining its agility and independence as a provider.”
The Apex Group, established in Bermuda in 2003, is the world’s largest independent fund solutions providers. The Group has continually improved and evolved its product suite and offers a full service solution to its clients: from fund administration, middle office, custody and depositary to corporate services and fund platforms. Apex now administers the investments of some of the largest funds and institutional investors in the world. www.apexfundservices.com
About Genstar Capital
Genstar Capital (www.gencap.com) is a leading private equity firm that has been actively investing in high quality companies for over 30 years. Based in San Francisco, Genstar works in partnership with its management teams and its network of strategic advisors to transform its portfolio companies into industry-leading businesses. Genstar currently has approximately $17 billion of assets under management and targets investments focused on targeted segments of the financial services, software, industrial technology, and healthcare industries. Genstar’s current and previous investments in financial and business services companies include Ascensus, Strategic Insight, Institutional Shareholder Services, Cetera Financial Group, Mercer Advisors, AssetMark and Artivest.