Goldman Sachs is purchasing European asset manager NN Investment Partners, in a deal worth €1.6bn (£1.36bn).
In an announcement today (August 19), the firm said the transaction is expected to close by the end of the first quarter of 2022, subject to regulatory and other approvals and conditions.
NN Investment Partners, which dates back almost 175 years and employs more than 900 professionals in 15 countries, is based in The Hague, Netherlands and manages $355bn (£302bn) in assets under supervision and $70 (£60bn) assets under advice.
Under the terms of the deal, Goldman Sachs Asset Management will enter into a long-term strategic partnership agreement with NN Group to manage an approximately $190bn (£162bn) portfolio of assets.
NN Investment Partners’ employees will join Goldman Sachs following the closing of the transaction, with the Netherlands becoming a “significant location” in its European business.
The firm said it believes the deal will strengthen its fund management and distribution platform across retail and institutional channels in Europe.
David Solomon, chairman and chief executive officer of Goldman Sachs, said: “This acquisition allows us to accelerate our growth strategy and broaden our asset management platform.
“NN Investment Partners offers a leading European client franchise and an extension of our strength in insurance asset management. Across NN Investment Partners’ offerings they have been successful in integrating sustainability which mirrors our own level of ambition to put responsible investing and stewardship at the heart of our business.
“We look forward to partnering with the team at NN Investment Partners as we focus on delivering long-term value to our clients and our shareholders.”
The firm said NN Investment Partners was “highly complementary” to Goldman Sachs Asset Management’s existing European footprint and would accelerate growth in products such as European equity and investment grade credit, sustainable and impact equity, and green bonds.
The transaction will bring Goldman Sachs' assets under supervision in Europe to over $600bn (£512bn).
David Knibbe, CEO of NN Group, said: “NN Group and NN Investment Partners have a longstanding and successful shared history. We value this strong and constructive relationship that we have and we look forward to further building on it in a new form.
“This transaction brings together two international asset managers, each with many decades of investment experience. We have found a strong and professional partner in Goldman Sachs, providing an environment in which our NN Investment Partners colleagues can continue to thrive, while the combined investment expertise and scale will enhance the service offering to NN Investment Partners’ clients, including NN Group.”
He added: “This transaction will also give NN Group greater optionality to develop a broader range of asset management propositions for our customers.
"Our approach and ambitions around ESG will remain unchanged and Goldman Sachs shares our commitment to responsible investing.”
sonia.rach@ft.com
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