Apex Group is set to close an acquisition of $13 billion Israeli fund services company Tzur Management, Private Funds CFO has learned.
The terms of the acquisition were not disclosed. It is set to close this month, according to Georges Archibald, managing director, Americas at Apex Group.
The news comes as Apex continues a bidding war against SS&C Technologies Holdings, a cloud-based provider of financial services technology, for Mainstream Group Holdings, an Australia-based fund administrator with operations in Asia, Europe and the US. On Friday, SS&C amended its bid for Mainstream to A$2.61 a share, implying an A$384 million ($296 million; €246 million) enterprise value.
The purchase of Tzur, which has offices in New York and Tel Aviv – a new jurisdiction for Apex – will add 90 people to the organization, primarily in Israel. Along with the $13 billion in additional assets under management, the acquisition brings new services for Tzur clients, including digital banking, global compliance solutions and ESG ratings and advisory.
Apex’s Archibald explained that the acquisition will also benefit existing US manager clients who have Israeli LPs, giving them an informed view or angle into the Israeli market. He added: “This transaction will benefit our US clients through further expansion of our cross-border offering, allowing for comprehensive multi-jurisdictional coverage and the provision of expert local market support, which underpins the success of funds and businesses.”
Tzur, founded in 2011, offers fund administration services including fund accounting, operations and shareholder services to hedge funds, venture capital funds, funds of funds, private equity funds, family offices and other alternative investment vehicles.
Apex – the largest independent global fund administrator, with $1.1 trillion in assets under management – is itself backed by private equity firm Genstar Capital and founder and chief executive Peter Hughes.
Last month, Apex announced that it was partnering with Battea Class Action Services, allowing clients to automatically file for class action lawsuits they may be eligible for. Battea’s platform analyses clients’ transaction histories