Backed by specific funding provided by Investec Bank, business process outsourcing group MainstreamBPO has acquired a group specialising in providing back-office processing to superannuation funds.

MainstreamBPO said it had used the first tranche of the $10 million provided by Investec to acquire Group Benefits.

It said this fitted with a long-term strategy to build a business focused on providing back-office administration services to the financial services sector.

Investec’s Mark Joffe and Brad Hill said they supported MainstreamBPO’s strategy of targeting these high-value niche outsourcing markets.

“We are confident we are backing experts in business process outsourcing who have an excellent track record in establishing and operating back-office administration businesses,” Joffe said.

Hill said that MainstreamBPO was well known in the financial services industry and, given the buoyancy of the economy and flow-through to the funds management industry, had significant opportunities to grow its business.

MainstreamBPO chief executive Byram Johnston said the company continued to grow its business through client acquisition, business acquisition and carve-out opportunities.

“We continue to evaluate opportunities to extend our reach past the businesses we now have in fund administration and superannuation administration,” he said.

“These opportunities could include registry services and mortgage administration.”