The Goldman Sachs Group, Inc. (“Goldman Sachs”) today announced that it has entered into an agreement to acquire NN Investment Partners from NN Group N.V. for approximately €1.6 billion(1). The transaction is expected to close by the end of the first quarter of 2022, subject to regulatory and other approvals and conditions.
NN Investment Partners is a leading European asset manager based in The Hague, Netherlands, with approximately $355 billion(2) in assets under supervision and approximately $70 billion in assets under advice. NN Investment Partners offers a broad range of equity and fixed income products, with a strong Environmental, Social and Governance (ESG) integration across its business. NN Investment Partners is a top-ranked ESG manager in Europe and 75% of its assets under supervision are ESG integrated.
With a heritage dating back almost 175 years, NN Investment Partners employs more than 900 professionals in 15 countries and combines the use of data and technology with fundamental analysis in its investment processes.
NN Investment Partners’ employees will join Goldman Sachs Asset Management following the closing of the transaction, with the Netherlands becoming a significant location in our European business. We believe that NN Investment Partners’ expertise will strengthen our fund management and distribution platform across retail and institutional channels in Europe and support us in delivering long-term value to clients.
NN Investment Partners is highly complementary to Goldman Sachs Asset Management’s existing European footprint and will add new capabilities and accelerate growth in products such as European equity and investment grade credit, sustainable and impact equity, and green bonds.
Goldman Sachs has $2.3 trillion in assets under supervision globally, and this transaction will bring assets under supervision in Europe to over $600 billion, aligning with the firm’s strategic objectives to scale its European business and extend its global reach.
As part of the agreement, Goldman Sachs Asset Management will enter into a long-term strategic partnership agreement with NN Group to manage an approximately $190 billion portfolio of assets, reflecting the strength of the business’ global insurance asset management capabilities and alternatives franchise.
The partnership will establish the firm as the largest non-affiliated insurance asset manager globally, with over $550 billion in assets under supervision, and the acquisition will provide a foundation for further growth in the firm’s European fiduciary management business, building on the success of its platform in the United States and United Kingdom.
David Solomon, Chairman and Chief Executive Officer of Goldman Sachs, said:
“This acquisition allows us to accelerate our growth strategy and broaden our asset management platform. NN Investment Partners offers a leading European client franchise and an extension of our strength in insurance asset management. Across NN Investment Partners’ offerings they have been successful in integrating sustainability which mirrors our own level of ambition to put responsible investing and stewardship at the heart of our business. We look forward to partnering with the team at NN Investment Partners as we focus on delivering long-term value to our clients and our shareholders.”
David Knibbe, Chief Executive Officer of NN Group, said:
“NN Group and NN Investment Partners have a longstanding and successful shared history. We value this strong and constructive relationship that we have and we look forward to further building on it in a new form. This transaction brings together two international asset managers, each with many decades of investment experience. We have found a strong and professional partner in Goldman Sachs, providing an environment in which our NN Investment Partners colleagues can continue to thrive, while the combined investment expertise and scale will enhance the service offering to NN Investment Partners’ clients, including NN Group. This transaction will also give NN Group greater optionality to develop a broader range of asset management propositions for our customers. Our approach and ambitions around ESG will remain unchanged and Goldman Sachs shares our commitment to responsible investing. On behalf of the Management Board of NN Group, I would like to thank our colleagues at NN Investment Partners for their drive, commitment and continuing focus on clients.”
Goldman Sachs & Co. LLC is serving as financial advisor and Sullivan & Cromwell LLP and Freshfields Bruckhaus Deringer LLP are serving as legal counsels to Goldman Sachs. J.P. Morgan Securities LLC is serving as financial advisor and De Brauw Blackstone Westbroek N.V. is serving as legal counsel to NN Group.
See press release incl. charts
| About Goldman Sachs
The Goldman Sachs Group, Inc. is a leading global financial institution that delivers a broad range of financial services across investment banking, securities, investment management and consumer banking to a large and diversified client base that includes corporations, financial institutions, governments and individuals. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centers around the world.
| About Goldman Sachs Asset Management
Bringing together traditional and alternative investments, Goldman Sachs Asset Management provides clients around the world with a dedicated partnership and focus on long-term performance. As the primary investing area within Goldman Sachs, we deliver investment and advisory services for the world’s leading institutions, financial advisors and individuals, drawing from our deeply connected global network and tailored expert insights, across every region and market. Driven by a passion for our clients’ performance, we seek to build long-term relationships based on conviction, sustainable outcomes, and shared success over time. Follow us on LinkedIn.
| About NN Group
NN Group (NN) is an international financial services company, active in 19 countries, with a strong presence in a number of European countries and Japan. With all its employees, the Group provides retirement services, pensions, insurance, investments and banking to approximately 18 million customers. NN Group includes Nationale-Nederlanden, NN, NN Investment Partners, ABN AMRO Insurance, Movir, AZL, BeFrank and OHRA. NN Group is listed on Euronext Amsterdam (NN).
| About NN Investment Partners
NN Investment Partners is the asset manager of NN Group N.V., a publicly traded company listed on Euronext Amsterdam. NN Investment Partners is headquartered in The Hague, the Netherlands and manages approximately $355 billion in assets for institutions and individual investors worldwide. NN Investment Partners employs over 900 professionals and has offices in 15 countries, servicing clients across Europe, North America, Latin America, Asia and the Middle East.
(1) Reflects a €1.515 billion base purchase price plus a customary ticking fee.
(2) ~$355 billion assets under supervision includes a ~$35 billion portfolio of mortgage assets, which are out of scope for this transaction and will continue to be managed and serviced by NN Group.
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are not historical facts or statements of current conditions, but instead represent only the firm’s beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of the firm’s control. It is possible that the firm’s actual results may differ, possibly materially, from the anticipated results in these forward-looking statements. Statements about the firm’s expected returns on invested capital relating to the transaction constitute forward-looking statements. Such statements are subject to the risk that returns may be materially less than expected. For information about some of the risks and important factors that could affect the firm’s future results, see “Risk Factors” in Part I, Item 1A of the firm’s Annual Report on Form 10-K for the year ended December 31, 2020.
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