REG - Aberdeen Group PLC - Aberdeen to acquire management of Closed End Funds

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RNS Number : 2931L  Aberdeen Group PLC  12 December 2025

 

Aberdeen Group plc

Aberdeen enters into agreement with MFS to acquire management of  Closed End
Funds with assets totalling £1.5bn

 

Aberdeen Investments ('Aberdeen') has reached agreement with MFS to acquire
the management of closed end fund (CEF) assets totalling £1.5bn, further
cementing Aberdeen's position as the fifth largest asset manager of CEFs
globally.

Through a series of mergers and reorganisations, nine MFS funds, in addition
to one existing Aberdeen closed end fund, will be consolidated resulting in
two active closed end funds. Both combined funds will benefit from significant
scale, creating a springboard for potential future growth:

-     four MFS municipal bond CEFs and one Aberdeen Municipal bond CEF
will be consolidated to create a c.$1bn AUM municipal bond fund

-     five MFS taxable fixed income funds will be merged to create a
c.$1.4bn AUM multi-sector fixed income CEF (including private credit)

As one of the largest managers of CEFs in the world, Aberdeen is well placed
to support consolidation in the sector, helping to deliver larger funds that
benefit from economies of scale and offer greater liquidity for investors. No
staff or corporate entities will transfer as part of the transaction, and the
acquisition is income accretive from year one. The deal remains subject to
approval by the shareholders of the respective funds.

Jason Windsor, Aberdeen Group CEO, says:

"We are delighted to add further scale to our US closed end fund platform,
with this highly synergistic acquisition.  As we implement our strategy to
become the UK's leading Wealth and Investments group we will continue to
invest in areas of strength where we see significant room for growth."

Christian Pittard, Head of Closed End Funds, and Managing Director, Corporate
Finance, Aberdeen Investments, adds:

"This is an exciting opportunity to bring our institutional skills and
leadership in fixed income and private credit to US retail investors through a
liquid, closed end fund structure. The enlarged funds will come with real
scale and will focus on areas of deep expertise for Aberdeen where we see
clear potential for further growth. MFS pioneered US mutual funds back in
1924, and we are proud they have chosen Aberdeen for this agreement."

Both funds will be managed by Aberdeen's Global Head of Fixed Income, Jonathan
Mondillo.  The multi-sector fund will mark Aberdeen's first foray in the US
into this part of the market, investing in a variety of bonds from different
sectors, including private credit, to provide a high level of income and risk
adjusted returns.

A driving force in the UK and US closed end fund sector

·    This will be Aberdeen's 10(th) US CEF acquisition since 2000.  Last
year, we invested the equivalent of around six months of management fees in
the shares of our UK listed investment companies.

·    In 2024, we successfully executed one of the largest mergers ever in
the sector with BBOX and UKCM.

·    Aberdeen was the first asset manager to unveil a suggested industry
blueprint for solving the cost disclosure issues that have been plaguing
investment companies, publishing a new 'Statement of Operating Expenses
(https://www.abrdn.com/docs?editionid=acf0b61d-90dc-4e83-af7d-b1fe009963db) '
(SOE) template.

·    Aberdeen currently manages c.£21.4bn in closed end funds, making it
the fifth largest manager of closed end funds globally. (Data from Morningstar
as of 12/11/25. Excludes this transaction).

12 December 2025

Ends

 

 

 Media enquiries                                                  Institutional equity investors and analysts

 Jemma Jackson                                                    Corbin Chaplin
 Head of Campaigns and Media, Aberdeen
Investor Relations Manager
 jemma.jackson@aberdeenplc.com (mailto:Jemma.jackson@abrdn.com)

                                                                corbin.chaplin (mailto:corbin.chaplin@aberdeenplc.com) @aberdeenplc.com
 07776 204 610                                                    (mailto:corbin.chaplin@aberdeenplc.com)

07774 332428

 

Notes to editors:

 

About Aberdeen Investments:

Aberdeen Investments is a global specialist asset manager that focuses on
areas where we have both strength and scale across public and private markets,
including credit, specialist equities and real assets.

Our teams collaborate across regions, asset classes and specialisms,
connecting diverse perspectives and working with clients to identify
investment opportunities that suit their needs.

As at 30 September 2025, Aberdeen Investments managed c.£382bn on behalf of
clients, including insurance companies, sovereign wealth funds, independent
wealth managers, pension funds, platforms, banks and family offices.

www.aberdeeninvestments.com (//www.aberdeeninvestments.com)

About Aberdeen Group:

Aberdeen is a leading Wealth & Investments group, working to help millions
of customers and clients turn their financial goals into reality. As at 30
September 2025, Aberdeen managed and administered c.£542bn of client and
customer assets across its three core businesses; interactive investor,
Adviser and Investments.

LEI number of Aberdeen Group plc: 0TMBS544NMO7GLCE7H90

www.aberdeenplc.com (http://www.aberdeenplc.com)

 

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