Partner Article

Man Group completes property investment manager acquisition worth up to $205m

London-based hedge fund Man Group has announced it has completed the acquisition of international investment management firm Aalto Invest Holding that could total up to $205m.

The deal, which was originally announced back in October, will help to lessen Man’s reliance on its AHL funds and sees Aalto become a central part of its newly formed Man Global Private Markets.

The Hedge Fund manager said last year that it would stump up an initial payment of up to $27m in cash and shares for London-headquartered Aalto, which also has offices in the US and Switzerland, followed by three further payments totalling a maximum of $180m dependent upon levels of run rate management fees.

Following completion, Luke Ellis, CEO of Man Group, said: “We are delighted to have completed the acquisition of Aalto, which is a key step in the development of Man Global Private Markets, our new investment engine for private asset classes, and in the ongoing diversification of Man Group.

“The acquisition of Aalto represents an attractive opportunity for clients, who will have access to longer term investment strategies offering a complementary risk reward profile to our current products.”

The acquisition of Aalto also provides Man with a route into the US property market thanks to the investment firm’s US team, with Aalto founders Mikko Syrjänen and Petteri Barman becoming co-heads of Man GPM’s Real Assets arm.

When the acquisition was initially announced, Syrjänen commented: “We are excited to partner with Man Group, and to combine Aalto’s investment expertise and capabilities with the firm’s institutional framework and global resources. Since its foundation, Aalto has operated a client-focused business model over multiple market cycles.

“We are now at the point in our evolution where the additional infrastructure and diverse investment expertise available at Man Group, as part of Man GPM, enhances our business and enables us to create significant value for existing and future clients. We are delighted to be working with an organisation that will enable us to preserve our entrepreneurial culture.”

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