SANNE is likely to return to the acquisition trail in 2018 after spending a year consolidating its newly-expanded business.
The fund administrator, which snapped up a string of global rivals in 2016, has been building a pipeline of potential deals which it expects to execute next year.
“We’ve seen 2017 as a year to consolidate as it’s important to demonstrate to our clients that we have successfully integrated the businesses we bought last year into our global operations,” Dean Godwin, chief executive of SANNE, told pfm.
The firm is not targeting any geographies in particular, but there is likely to be a more concerted focus on US opportunities, with European deals considered opportunistically, Godwin added.
It will also continue to focus on organic growth, following a 15 percent increase in organic revenue in the first half of 2017. This was fuelled by the growth of outsourcing fund administration, particularly in Europe, which in turn is the result of investor demands, regulatory change and increased interest in alternative assets as an investment class.
European managers continue to lead the way in outsourcing, with just under two-thirds using a third-party administrator, Godwin said.
“The US administration market is less mature, and around 30 percent of managers outsource. There are growth opportunities there, the caveat being that it is a huge place to explore,” he added.
The firm previously told pfm that it plans to be among a fund administration Big Four, should one emerge.
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