Nordic Capital sells MFEX, a leading global independent fund distributor, to Euroclear
March 26 2021
- MFEX has quadrupled assets under administration since Nordic Capital’s acquisition in January 2018
- The Company is now one of the top Pan-European platforms for fund distribution
- With this transaction, MFEX and Euroclear’s complementary businesses are expected to create significant value for clients
Nordic Capital has signed an agreement to sell MFEX, a leading global independent fund distributor, to Euroclear. During Nordic Capital’s ownership, MFEX has successfully repositioned itself from a Nordic player to a pan-European leader with an emerging global presence. The new owner Euroclear is a leading provider of financial market infrastructure services and is ideally placed to support the next phase of MFEX’s growth and development.
The two companies are complementary and will build on each other’s strengths. The combination of MFEX’s innovative distribution platform with Euroclear’s FundSettle post-trade operations expertise will create a unique and compelling offering for fund distributors and fund management companies globally.
Nordic Capital partnered with MFEX’s founders and management team in early 2018 to accelerate growth across Europe and Asia, drive consolidation in the sector and further expand MFEX’s product and service offering. Nordic Capital has made substantial investment in the MFEX platform through acquisitive and organic initiatives. Under Nordic Capital’s ownership, MFEX has grown assets under administration fourfold and the company has been propelled into becoming the second largest European player and one of the key platforms for fund distribution.
“MFEX is a true leader in its field. Since Nordic Capital became a majority owner in 2018, in partnership with the founders, MFEX has experienced continued strong organic growth and executed a series of strategic, value accretive acquisitions. MFEX has developed from being a Nordic leader in its industry to a pan-European leader with a global presence. Nordic Capital is pleased to have been able to support this journey. Now it is the ideal time for Nordic Capital to hand over to Euroclear as the next step for MFEX,” said David Samuelson, board member of MFEX and Principal, Nordic Capital Advisors.
Lieve Mostrey, Chief Executive Officer of Euroclear, commented: “We are delighted to sign this agreement to acquire MFEX Group. We expect MFEX’s broad fund distribution network, along with its talented people, to be very complementary to Euroclear as we continue to enhance our exceptional service, extend our customer proposition and grow our business.”
“Together with Nordic Capital, we have invested in our platform and continued to transform the fund distribution proposition. Nordic Capital’s significant experience in growing Financial Services companies has supported our organic growth and also helped form new partnerships. Euroclear is a great strategic fit for the next stages of our growth journey. By adding our respective strengths, we will be able to build an even better and stronger solution for fund distribution,” says Jean Devambez, CEO, MFEX.
MFEX co-founders and board members, Olivier Huby and Oliver Lagerström added: “It has been a privilege to work closely with Nordic Capital and to grow MFEX together. We are delighted for MFEX to partner with Euroclear, which we believe will be a perfect combination for the future.”
The transaction is subject to customary regulatory approvals. The parties have agreed not to disclose financial details.
Cederquist acted as legal advisor to Nordic Capital
Financial Services is one of Nordic Capital’s focus sectors in which it has extensive experience, a strong and active sector network, and a dedicated team within Nordic Capital Advisors across Northern Europe. Nordic Capital is one of the leading investors in the Financial Services sector in the Nordic region and has invested EUR 2.3 billion in 10 financial services companies since 2004. Nordic Capital has achieved repeatable success in this sector and has been instrumental in the development of thriving companies such as Nordnet (recently listed on Nasdaq Stockholm), Nordax and Intrum.
Katarina Janerud, Communications Manager
Advisor to the Nordic Capital Funds
Tel: +46 8 440 50 50
+33 1 80 87 59 21
Head of Media Relations
Tel: +44 207 849 0315
As independent experts in global fund distribution, MFEX offers a complete solution for fund companies and distributors. The MFEX Group was established in Sweden in 1999 and is headquartered in Stockholm with offices in Paris, Luxembourg, London, Geneva, Kuala Lumpur, Milan, Madrid, Umea, Hong Kong, Singapore and Zürich. The main supervisory authority is the Swedish Financial Supervisory Authority (Finansinspektionen).
Today, MFEX is a pan-European leader with a global presence active in 52 countries on 5 continents with more than 300 employees. The company is divided into four main business areas: Trading and custody, Distribution agreement and rebate collection, Data and fund information and Due Diligence / AML & KYC (Global Fund Watch). More information is available at www.mfex.com
About Nordic Capital
Nordic Capital is a leading private equity investor with a resolute commitment to creating stronger, sustainable businesses through operational improvement and transformative growth. Nordic Capital focuses on selected regions and sectors where it has deep experience and a long history. Focus sectors are Healthcare, Technology & Payments, Financial Services, and selectively, Industrial & Business Services. Key regions are Europe and globally for Healthcare and Technology & Payments investments. Since inception in 1989, Nordic Capital has invested more than EUR 17 billion in close to 120 investments. The most recent fund is Nordic Capital Fund X with EUR 6.1 billion in committed capital, principally provided by international institutional investors such as pension funds. Nordic Capital Advisors have local offices in Sweden, Denmark, Finland, Norway, Germany, the UK and the US. For further information about Nordic Capital, please visit www.nordiccapital.com
Footnote: “Nordic Capital” refers to any, or all, Nordic Capital branded funds and vehicles and associated entities. The general partners of Nordic Capital’s funds and vehicles are advised by several non-discretionary sub-advisory entities, any or all of which is referred to as “Nordic Capital Advisors”.
Euroclear group is the financial industry’s trusted provider of post trade services. Euroclear provides settlement and custody of domestic and cross- border securities for bonds, equities and derivatives to investment funds. Euroclear is a proven, resilient capital market infrastructure committed to delivering risk-mitigation, automation and efficiency at scale for its global client franchise.
The Euroclear group includes Euroclear Bank - which is rated AA+ by Fitch Ratings and AA by Standard & Poor’s - as well as Euroclear Belgium, Euroclear Finland, Euroclear France, Euroclear Nederland, Euroclear Sweden and Euroclear UK & Ireland. The Euroclear group settled the equivalent of EUR 897 trillion in securities transactions in 2020, representing 276 million domestic and cross-border transactions, and held EUR 32.8 trillion in assets for clients by end 2020.
For more information about Euroclear, please visit www.euroclear.com.