Aberdeen Asset Management PLC ('Aberdeen') is pleased to announce that its wholly-owned subsidiary, Aberdeen Property Investors Holding AB , has completed its acquisition of DEGI Deutsche Gesellschaft fur Immobilienfonds MbH (“DEGI”), a leading German-based property investment management company. DEGI has been acquired from Dresdner Bank for a cash consideration of €110 million (approximately £86.2 million) following approval from BaFin, the German financial authority. The transaction was initially announced on 21 December 2007.
DEGI has approximately €6.4 billion (approximately £5.0 billion) of assets under management in a number of property funds offering German, European or global commercial property exposure. The funds include semi-institutional open-ended funds for institutional investors, family offices and high net-worth private clients and open-ended funds available to both institutional and private investors.
The acquisition broadens and increases the overall assets that Aberdeen manages on behalf of German clients within equity, fixed income and property portfolios. In addition, it enhances the position of the property investment division of Aberdeen, Aberdeen Property Investors, as one of Europe’s largest property fund managers, increasing assets under management to around €20 billion (approximately £15.7 billion).
The transaction has several benefits for both parties. It strengthens Aberdeen’s property activities in the strategically important German market, with DEGI offering complementary products and expertise to Aberdeen. Additionally, DEGI will be able to draw on Aberdeen’s local presence in property markets around the world and capitalise on the growth potential offered to its international business, as part of the enlarged group. Aberdeen and DEGI will offer a broad and comprehensive product range to clients and will benefit from the economies of scale arising from a combined property fund management business.
Martin Gilbert, Chief Executive of Aberdeen, comments:
“We are delighted that this earnings-enhancing transaction is now complete. The acquisition of DEGI is an important step in building our German business and reinforces our commitment to the market as provider of equity, fixed income and property solutions. It also strengthens Aberdeen Property Investors' position as a leading property investment manager. The DEGI team comes with an excellent track record and a complementary range of property funds. The acquisition continues our strategy of acquiring infill businesses that enhance our product range and geographic reach, and complement the continuing strong organic growth of our existing operations.”
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For further information please contact:
Charlotte Walsh
Maitland
T: +44 207 379 5151