- International real assets manager ADVANTAGE Investment Partners offers broad access to multi-manager products including global infrastructure and private equity, expanding PATRIZIA’s real asset product shelf
- Acquisition strengthens PATRIZIA’s access to Nordic clients and its international wholesale distribution channels, including High Net Worth Individuals (HNWI)
- Deal structure ensures full alignment with PATRIZIA shareholders
- PATRIZIA increases its guidance for FY 2022 assets under management (AUM) to EUR 57.0 – 60.0bn
Augsburg/Copenhagen, 1 December 2022. PATRIZIA SE, a leading partner for global real assets, has acquired Copenhagen-based ADVANTAGE Investment Partners, a diversified multi-manager with both institutional and wholesale distribution channels.
ADVANTAGE Investment Partners was founded in 2018 and manages USD 1.2bn fee-earning assets under management (fee-earning AUM) as at 30 June 2022, which will be above USD 2bn by end of 2022 and aspires to USD 3bn+ by end of 2024. ADVANTAGE Investment Partners’ multi-manager product shelf includes a club deal invested in global infrastructure equity and a commingled discretionary fund series invested in North American private equity.
ADVANTAGE Investment Partners is also in advanced discussions to launch further products, with a nimble approach to raising new products leading to a lower “time to market” for new products vs. traditional investment managers.
PATRIZIA SE founder and CEO, Wolfgang Egger, comments: “The growth journey of ADVANTAGE Investment Partners over the last four years has been very impressive and now is the perfect time for us to join forces. Our new colleagues in Copenhagen will give PATRIZIA’s real assets and alternatives growth plans a big boost, with our institutional and wholesale clients benefiting from even broader access to global infrastructure and private equity. The acquisition will also allow our clients to tap into an established multi-manager investment strategy.”
Founder and Managing Partner at ADVANTAGE Investment Partners, Anders Dalhoff, adds: “Culturally PATRIZIA is a perfect fit for us as both of our firms have a strong entrepreneurial mindset and a client-centric approach. This is a win-win for all of us: our existing and new clients will gain access to a much broader global network and product shelf, as well as the proven expertise of PATRIZIA. Our team can continue to grow professionally within the PATRIZIA family and PATRIZIA will be enriched by the highly diverse products and new sales channels we bring to the table.”
Since 2018, the team of 15 employees has established a strong track record in providing Nordic institutional as well as High Net Worth Individual (HNWI) wholesale investors with access to global real asset products of large-cap blue-chip General Partners (GPs). ADVANTAGE Investment Partners is highly additive and complementary to PATRIZIA’s current distribution set-up. The acquisition strengthens PATRIZIA’s access to Nordic institutional clients and wholesale distribution channels through a balance sheet light model (including via bank partnerships with mid/large cap Nordic banks).
Both revenue and EBITDA contribution to PATRIZIA is expected to be in the lower single-digit EUR millions for FY 2023, while ADVANTAGE Investment Partners is expected to accelerate its growth through its partnership with PATRIZIA.
The acquisition will partially be paid in cash and partially in existing PATRIZIA treasury shares which were acquired via buy-back programmes. ADVANTAGE Investment Partners management have agreed to an earn-out structure and multi-year share lock-up, aligning the interests of PATRIZIA shareholders with the management of the acquired entity. PATRIZIA’s acquisition multiple is in line with previous M&A transactions. The acquisition closed successfully on 1 December 2022. ADVANTAGE Investment Partners will hence contribute to PATRIZIA’s financial results from 1 December 2022 onwards.
Following the successful closing of the acquisition, PATRIZIA increases its guidance for FY 2022 AUM to EUR 57.0 – 60.0bn from EUR 57.0 – EUR 58.0bn before.
PATRIZIA: A leading partner for global real assets
With operations around the world, PATRIZIA has been offering investment opportunities in real estate and infrastructure assets for institutional, semi-professional and private investors for 38 years. PATRIZIA manages more than EUR 57 billion in assets and employs over 1,000 professionals at 28 locations worldwide. Through its PATRIZIA Foundation, PATRIZIA is committed to social responsibility. The Foundation has helped around 250,000 children in need worldwide gain access to education and thus, has given them the chance of a better life over the last 23 years. You can find further information at www.patrizia.ag
Head of Investor Relations & Group Reporting
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