Apex continues acquisition spree with agreement to takeover Atlantic Fund Services

Third deal of the year for Apex Group which adds mutual fund administration capabilities of Atlantic Fund Services to its growing list of acquisitions.

By Jonathan Watkins

Apex Group has announced it will acquire fund administrator Atlantic Fund Services in its third deal in as many months.

Atlantic Fund Services has been a frequent recipient of mutual fund administration awards from Global Custodian following consistent results in our annual surveys – earning recognition for compliance and value over the past two years.

The addition of specialist 40-Act service capabilities will also boost Apex’s already broad fund services offering.

Apex Group will add a further $12 billion in assets under administration to its portfolio through the acquisition, bringing its total to $622 billion.

Terms of the agreement are not being disclosed.

The addition of the Atlantic business will see Apex add 75 people in Portland, Maine. 

This transaction is the latest in a series of strategic acquisitions made by Apex over the past 18 months as it has risen to become the fifth largest administrator in the world.

Apex announced the acquisition of Deutsche Bank’s Alternative Fund Services business at the end of 2017, followed by the acquisitions of M.M.Warburg & CO’s Asset Servicing business, LRI Group, Ipes and Custom House in 2018.

This year, the fund administrator has also announced the acquisition of Bermuda-based Beacon Fund Services and the Corporate and Private Client Services (CPCS) and Throgmorton businesses from Link Group’s Asset Services division.

Apex also closed the acquisition of private equity administration Ipes in February, as well as the acquisition of Custom House in January.

“The addition of the Atlantic team to the Apex Group is particularly valuable when it comes to our US capabilities and the ability to service 40-Act funds,” said Peter Hughes, founder & chief executive officer, Apex Group. “We have a strong focus on building our presence in the Americas and Atlantic’s successful mutual fund service model adds further weight to our investment in the US. The award-winning transfer agency solutions Atlantic brings will complement our European model and expand our US portfolio. Atlantic’s clients will benefit from immediate access to a global institutional business with a wide breadth of service capabilities and local expertise across all key fund jurisdictions.”

Apex said the mutual fund services of Atlantic would complement its own offerings as it looks to bolster its entire suite of fund administration offerings.

“The decision to join Apex is an acknowledgement of our ongoing commitment to providing our clients with first rate products and services, and our people with lasting career opportunities,” said John Keffer, chairman, Atlantic Fund Services.

“As we add our registered fund services to Apex’s expansive product line-up, the combined offering becomes compelling. I am very proud of what we have achieved over the past 30 years and believe this is the right decision for both the team and our clients and will deliver far greater potential for us all in the future.”