T. Rowe Price’s US$4.2 billion deal leads financial services consolidation
Investors took a deep dive into the financial services industry in 2021. Dechert had prominent roles facilitating several of these landmark U.S. and European deals.
Consolidation within the financial services industry continued apace in 2021, and Dechert’s M&A and private equity practice has been at the forefront of this activity. Whether it’s a market-changing asset management deal, or a high-profile private equity buyout, our team has consistently proven we can get the deal done in an industry that is ever-changing with new entrants, market pressures and investors Amongst more than 20 financial services deals this year, a highlight was advising T. Rowe Price Group in its acquisition of alternative investment firm Oak Hill Advisors for up to US$4.2 billion. “This deal will bring together T. Rowe’s global multi-asset capabilities with Oak Hill’s expertise in private credit,” explains financial services partner Mark Perlow, “both sectors in which Dechert has a very strong pedigree.”
Activity was particularly high in the booming fintech and payments markets, where the COVID-19 pandemic has accelerated the need for tech-driven solutions and services. Growing demand was evident in several deals that Dechert helped cross the line in 2021, involving transactions on both sides of the Atlantic. In New York, Christian Matarese and Ken Young led the advice to J.P. Morgan on its acquisition of OpenInvest, one of several deals for J.P. Morgan over the past 18 months. OpenInvest is a fintech company that helps financiers customize and report on values-based investments, a deal that also highlights the parallel boom in ESG-related activity. “The OpenInvest acquisition advances J.P. Morgan’s focus on sustainable investing,” explains Matarese, “and is expected to be a powerful resource to help our client deliver customized solutions to its clients.”
Europe also saw notable investments, with a multi-office team advising Swedish private equity firm Nordic Capital on its €2.143 billion sale of Itiviti, a leading trading technology and services provider, to Broadridge Financial Solutions. Singaporean sovereign wealth fund and longstanding Dechert client GIC has also made significant investments in the fintech space. GIC and private equity fund Stone Point Capital recently acquired a majority stake in the retirement and savings service provider, Ascensus. The Ascensus acquisition was another milestone in Dechert’s continued support of GIC in the execution of its ambitious global investment strategy. “Ascensus was another important investment for GIC,” says partner Jon Kim, “evidencing their belief that Ascensus’ unique technologies and market insights will continue to drive growth in this space.”
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Our deep transactional experience and financial industry
knowledge allow us to execute on our clients’ investment goals from a 360 degree perspective, understanding both the regulatory and commercial aspects of the transaction.” Ken Young Partner
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