REG - abrdn PLC - European Headquartered Private Equity Business

AberdeenAnnouncement

16/10/2023 11:00

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RNS Number : 2405Q  abrdn PLC  16 October 2023

 

16 October 2023

 

abrdn plc

 

abrdn agrees to sell its European-headquartered Private Equity business to
Patria Investments

 

abrdn today announces that it has agreed to sell its £7.5bn** AUM
European-headquartered Private Equity business to Nasdaq-listed Patria
Investments.

This sale follows on from a strategic review of our Alternatives business,
within which we concluded that the capital generated from the sale of certain
of our private equity businesses would be better deployed within our core
investment businesses. Evidence of this was demonstrated in our agreed
acquisition of specialist healthcare investment adviser Tekla Capital
Management in July.

The sale is expected to complete in the first half of 2024.

Stephen Bird, CEO abrdn commented:

"The sale of our European-headquartered Private Equity business to Patria
Investments closely follows the completion of the sale of our US-headquartered
Private Equity business to High Vista Strategies. This latest sale marks
further progress in the reshaping of our Investments business in line with
previous guidance. We are continuing to reduce complexity and are focusing on
areas where we are confident we can drive growth in the future."

ENDS

Rothschild & Co served as financial advisor and Macfarlanes LLP served as
legal advisor to abrdn.

Latham & Watkins LLP served as legal advisor to Patria.

 

Key terms:

·    Upfront consideration comprised of £60 million of cash.*

·    Secured deferred consideration of £20 million plus interest of cash
to be paid 24 months following completion.*

·    Further payment of up to £20 million of cash to be paid subject to
the performance of the business 3 years from completion.

 

* subject to any completion adjustments

**as at 30.9.2023

 

 

Enquiries:

  Media

 Andrea Ward                                  +44 (0) 7876 178 696
 Institutional Equity Investors and Analysts

 Sarah Moody                                  +44 (0) 7721 679 892

 Corbin Chaplin                               +44 (0) 7774 332 428

 

LEI: OTMBS544NMO7GLCE7H90

 

Notes to editors

About abrdn

·    abrdn is a global investment company that helps clients and customers
plan, save and invest for the future. Our purpose is to enable our clients to
be better investors.

·    abrdn manages and administers £495.7bn of assets for clients (as at
30 June 2023).

·    Our strategy is to deliver client-led growth. We are structured
around three businesses - Investments, Adviser and Personal - focused on the
changing needs of our clients.

·    The capabilities in our Investments business are built on the
strength of our insight - generated from wide-ranging research, worldwide
investment expertise and local market knowledge.

·    Our Adviser business provides financial planning solutions and
technology for UK financial advisers, enabling them to create value for their
businesses and their clients.

·    Powered by the UK's second largest direct-to-consumer investment
platform, interactive investor, our Personal business enables individuals in
the UK to plan, save and invest in the way that works for them.

 

About Patria Investments

Patria is a leading alternative investment firm focused on Latin America, with
over 30 years of history and combined assets under management of $28.2
billion, and a global presence with offices in 10 cities across 4 continents.
Patria aims to provide consistent returns in attractive long-term investment
opportunities that allow for portfolio diversification through its Private
Equity, Infrastructure, Credit, Public Equities and Real Estate products.
Through its investments Patria seeks to transform industries and untangle
bottlenecks, generating attractive returns for its investors, while creating
sustainable value for society. Further information is available at
www.patria.com
(https://urldefense.com/v3/__http:/www.patria.com__;!!BupLon6U!8EBuj_L14jx1ifoMFNdD6vIOL2oRHuh73ndz-ca2JSxkB4GcQa8SH07u9U83dng$)
.

 

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