AMP completes GEFI sale to Macquarie Asset Management
AMP has announced the successful completion of the sale of its Global Equities and Fixed Income (GEFI) business to Macquarie Asset Management (MAM), part of Macquarie Group.
Plans to sell AMP’s GEFI business to MAM were announced in July last year.
Shawn Johnson, AMP Capital chief executive, said: “The completion of the GEFI transaction is a key milestone in Collimate Capital’s separation from AMP and preparation for demerger.
“Our teams have been actively working to ensure a smooth transition of funds and clients and we’re confident that MAM, and our talented teams who are transferring, will deliver great outcomes for them.”
As part of the sale, assets under management (AUM) of around $47 billion would transfer from AMP Capital to MAM, subject to unitholder approvals while AMP would receive a net completion amount of approximately $63 million in cash from MAM.
The reduction from the total potential proceeds reflected reductions in AUM and client pricing changes since the sale agreement.
AMP remained eligible for a further cash earn-out up to $75 million payable after the second anniversary of transaction completion, subject to certain conditions including revenue targets. The amount remained uncertain with the retention of AUM being the main driver.
AUTHOR
Liam Cormican
Recommended for you
Investment solution provider Channel Capital has appointed James Archer as its latest distribution director, joining from Pinnacle Investment Management.
Bennelong Funds Management has signed a memorandum of understanding with US private credit manager Monroe Capital to distribute its products in Australia.
Global equity manager Talaria Capital has appointed a Sydney-based sales director as it grows its distribution presence across Australia.
Global private markets firm Partners Group has launched an evergreen fund to provide Australian advisers with access to its cross-sector royalties strategy.
