Apex Group Acquires Deutsche Bank's Alternative Fund Services Unit

Oct 19 2017 | 10:25pm ET

Fund administrator Apex Group has announced the acquisition of Deutsche Bank’s Alternative Fund Services (AFS) business.

The deal illustrates the rapid expansion of Apex since middle-market private equity company Genstar Capital recapitalized the company in May, Apex said in a statement. In tandem with Apex’s acquisition of Equinoxe Alternative Investment Services earlier this year, the AFS purchase moves the company towards its stated goal of becoming a top five global fund services business.

The transaction will add $170 billion in AUA, propelling Apex to become the eighth largest administrator in the world and the largest independent administrator. Meanwhile, AFS clients will have access to 18 additional investment jurisdictions through Apex's global reach, with local expertise available through the Apex network of offices. 

Terms of the agreement were not disclosed. The transaction is expected to close in the second quarter 2018, Apex said. 

“This transaction complements the existing Apex business and further strengthens our position as the leading independent provider of fund services globally," said Peter Hughes, founder and CEO at Apex, in the statement. "This acquisition is consistent with Apex's ongoing commitment to continued strategic investments and to developing our product offering to become the most complete partner in the sector."

Macquarie Capital acted as exclusive financial advisor on the deal, while Willkie Farr & Gallagher provided legal counsel to Genstar and Apex. Deutsche Bank acted as financial advisor and Freshfields, Bruckhaus Deringer provided legal counsel to Deutsche Bank.

Founded in Bermuda in 2003, Apex Fund Services is one of the world's largest independent fund administration and middle office solutions providers. With $300 billion in assets under administration, Apex administers the investments of some of the largest funds and institutional investors in the world.  

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