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Motive Partners Set Sights on Strategic Allfunds Acquisition


Michael Chen

April 8, 2024 - 14:22 pm


Motive Partners Explores Acquisition of Allfunds Group Amid Rising Takeover Interest

(Bloomberg) -- As the investment landscape continues to evolve, New York-based investment firm Motive Partners is currently in the preliminary stages of considering an acquisition bid for renowned mutual fund distribution company Allfunds Group Plc. With the financial industry buzzing about this potential transaction, insiders privy to the discussions have unveiled that Motive Partners is carefully assessing the prospects of making an offer for Allfunds, a company presently listed on the Amsterdam stock exchange.

Strategic Move by Motive Partners

Motive Partners, known for its strategic investments within the financial technology sector across the United States and Europe, is not embarking on this exploratory mission alone. The company is collaborating with financial advisors as it deliberates on the feasibility of placing a bid. According to one source, Motive may even join forces with another partner to fortify its approach, though these considerations are fluid and could lead them to ultimately abandon the pursuit, the sources, who requested anonymity, added.

At the helm of Motive Partners is Rob Heyvaert, a distinguished financial executive with a penchant for transformative fintech investments. The company's keen interest in Allfunds seemingly aligns with its investment ethos and market objectives.

Anticipating the Market Reaction

The air of confidentiality surrounding the potential deal has been preserved, and both Motive and Allfunds have chosen not to publicly comment on the speculation. Allfunds currently boasts a significant market valuation of approximately €4.2 billion (or $4.6 billion), showcasing its robust standing in the financial arena.

Allegations of Allfunds evaluating takeover interest were first brought to light in November by Bloomberg News. Since then, the rumor mill has churned with speculation about various heavyweight investment firms showing interest. Names such as Cinven, CVC Capital Partners, and Permira have emerged from sources familiar with the matter. Moreover, other formidable entities like KKR & Co. and Warburg Pincus have also supposedly been in the mix as potential contenders.

Market Reaction to Emerging Details

In a notable twist, Swiss stock-exchange operator SIX Group has withdrawn its previously reported consideration for Allfunds, with Reuters citing remarks from the group's chief executive officer. This development comes as a surprise, given the strategic synergies a combination of the two entities could have provided.

Following the news of Motive Partners' interested glare at Allfunds, the latter's share prices saw a noteworthy surge. Records show a 5.4% increase to €6.87 as of 3:07 p.m. in Amsterdam trading after the Bloomberg News report surfaced. This surge breathes new life into Allfunds' stock performance, which, after being publicly listed at €11.50 per share three years ago, had experienced a concerning decline, losing over half its value by October of the previous year before this recent revival.

Read the Bloomberg News Report on M&A Targets

Influence of Major Stakeholders

Allfunds' trajectory into the spotlight has not been a solo journey. For any deal to materialize successfully, the company's substantial shareholders, namely private equity firm Hellman & Friedman and French banking giant BNP Paribas SA, must be on board. Bloomberg's data aggregation highlights the significance of these heavyweights within the Allfunds ownership framework. Their support would be pivotal in the event of a corporate takeover.

Allfunds' Market Presence and Services

Since its inception in 2000 as a traditional Spanish bank, Allfunds has transformed into a global force in the asset management sector. The company plays an intermediary role, assisting asset managers in effectively reaching investors while supplementing this service with data analytics, compliance, and other crucial support functions. Its competitive landscape includes other major players like Euroclear's Euroclear FundsPlace and Deutsche Boerse AG's Clearstream, making Allfunds' spacious footprint in the industry even more admirable with partnerships spanning over 3,000 fund groups managing approximately €1.3 trillion in assets.

Motive Partners' Strategic Growth and Investment Mandate

The spotlight also finds itself on Motive Partners, which boasts a global presence with offices situated in influential financial hubs such as New York, London, and Berlin. The firm is engaged in supporting the fintech ecosystem's growth by engaging in early-stage, growth and buyout investment opportunities. By leveraging the expertise of its founding partners, such as former JPMorgan Chase & Co. executive Blythe Masters and previous Fiserv Inc. CEO Jeff Yabuki, Motive Partners has cemented its reputation as a visionary in the fintech investment sphere.

Additional Insights and Market Analytics

To further dive into the evolving dynamics, Macarena Muñoz has contributed additional reporting, enriching the contextual analysis of the potential takeover. Such detailed examination provides a transparent lens into the profound complexities and strategic machinations involved in high-level investment discussions.

Closing Mention

The unfolding story of Motive Partners' interest in Allfunds Group Plc is punctuated by an update on the latter's stock movement in light of the reported acquisition interest, reflecting the immediate market impact of such high-stakes investment narratives.

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