On April 13, 2018, Federated Investors announced an agreement to acquire a majority interest in Hermes Fund Managers from BT Pension Scheme.
Under the terms of the transaction, Federated Investors, Inc. (“Federated”) will pay £246 million to BT Pension Scheme (“BTPS”) for a 60% interest in Hermes Fund Manager Limited (“Hermes”). BTPS will retain a 29.5% share in Hermes, with the remaining 10.5% interest held by members of Hermes’ management. The transaction is expected to close during the second half of 2018, subject to regulatory approval. Barclays Capital served as a financial advisor to Federated in this transaction.
Federated (NYSE: FII) is an investment manager that specializes in equity, fixed income, money market, and alternative strategies. The firm has $397.6 billion in assets under management as of Dec. 31, 2017.
Hermes is a London-based asset manager that specializes in equities, credit, real estate, private equity and other financial strategies. Hermes Investment Management has £33.0 billion in assets under management and Hermes EOS has £336.1 billion in assets under management.
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