AMP Limited will sell its AMP Capital global equities and fixed income (GEFI) business to Macquarie Asset Management for up to $185 million.
The two firms had entered into a binding agreement and was part of AMP Capital’s strategy in preparation for its planned demerger from AMP during 1H 22, an announcement said.
GEFI currently managed around $60 billion in assets under management (AUM) and under the sale agreement AMP Capital’s capabilities in Australian and global listed equities and global fixed income would be combined with Macquarie’s public investment platform.
Post completion, the investment teams focused on GEFI’s clients around the world, and other key staff would transfer to Macquarie. Macquarie Asset Management was expected to have around $720 billion in AUM post transaction.
AMP Capital’s strategy was to focus on high-growth opportunities in private markets across real estate, infrastructure, and associated adjacencies.
AMP Capital was also in the process of transferring the multi-asset group business to AMP Australia to create an end-to-end superannuation and investment platform business.
Commenting on the sale AMP acting chief executive, James Georgeson, said: “Our review of the GEFI business last year showed it had strong investment capabilities and performance but needed greater scale and broader distribution reach to compete effectively.
“Macquarie is a high quality and respected manager, with a complementary culture and capabilities, well-placed to develop the business and deliver continued strong investment performance for its expanded client base.”
