Administrator GlobeOp Seeks Buyer

Jan 5 2012 | 7:43pm ET

Hedge fund administrator GlobeOp Financial Services has put itself up for sale.

The firm, which has some US$173 billion in assets under administration, said in a statement today that it has begun a strategic review because it "believes that the company's share price significantly undervalues its future prospects."

GlobeOp said it is in talks with private equity firms Advent International and TPG Capital about a possible takeover. The firm has hired investment bank Evercore Partners.

"GlobeOp is performing extremely well and we are confident of continuing the strong growth of the business under our current ownership structure," Ed Nicoll, the firm's chairman, said. "Nevertheless, the board felt it right to explore options which could enhance the interests of clients, employees and shareholders."

GlobeOp is seeking more than £300 million, according to Sky News, which first reported GlobeOp's plans.

Last month, GlobeOp CEO Hans Hufschmid lauded the firm's second half, saying that trading was strong and that revenues and profits were at record levels. GlobeOp is one of the largest administrators in the world, representing about 10% of total industry assets. In addition to offering administration, technology and other hedge fund services, GlobeOp also publishes a redemption benchmark for the industry.


In Depth

Don’t Overlook These 6 Hybrid Cloud Concerns

Sep 14 2017 | 6:27pm ET

Cloud-based technology solutions have made tremendous inroads into the alternative...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Cash: An Asset In Adolescence

Aug 31 2017 | 3:34pm ET

If the investment industry has a rebellious teenager in the house today, that teenager...

 

From the current issue of