Patrizia Immobilien AG has acquired Rockspring Property Investment Managers LLP, providing it with a London-based fund management hub with a focus on discretionary capital for global clients. The acquisition further strengthens Patrizia’s global investor base and expands the Group’s network of pan-European offices, resources and capabilities.
This transaction, which builds on the group’s enhanced scale following the recent acquisitions of both TRIUVA and Sparinvest Property Investors (SPI) in the fourth quarter of 2017, increases Patrizia’s assets under management (AUM) to approximately €40 billion.
Rockspring has established a client base in excess of 120 institutional investors across 20 countries, as well as recognised fund brands including Rockspring TransEuropean, Rockspring PanEuropean and Rockspring Hanover – all of which will remain unaffected and will continue in their current form post-merger. Experts in fund management, its 110-strong team manages real estate investments primarily in the retail, office and industrial sectors out of seven offices in Europe. Rockspring’s AUM is split between the UK and Ireland (35%), Germany (34%) and France (13%), with the remainder (19%) spread throughout the rest of Europe. (As for the CEE region, 3.8% of AUM is located in Poland and 0.7% in Croatia.)
Rockspring complements Patrizia’s already established fundraising capabilities with 31% of its institutional investors originating in the UK, 27% from the Asia Pacific region, 5% from North America and the remaining 37% from continental Europe whereas the majority of Patrizia’s clients originate in Germany. Around 80% of Rockspring’s investors are pension funds, while it also counts insurance companies and other institutional investors amongst its clients.
This is the latest in a series of transactions that Patrizia has undertaken, with several acquisitions successfully completed and embedded into the business in recent years. In 2010, Patrizia acquired Hamburg-based LB Immo Invest, one of Germany's largest real estate fund providers in the office and retail sectors. In 2013, Patrizia acquired London-based investment and asset manager Tamar Capital Group. Most recently, the global fund of funds provider, SPI, and the investment manager, TRIUVA, were acquired in October and November 2017 respectively, providing further breadth to the Company’s investment management capability.
Patrizia expects the transaction to close at the end of the first quarter of 2018 at the latest and to be earnings accretive in the year of acquisition.
