Aberdeen has acquired property fund asset management company, Rreef UK, from RoProperty Holdings i...
Aberdeen has acquired property fund asset management company, Rreef UK, from RoProperty Holdings in a deal worth £7.3m.
The acquisition of Rreef, which specialises in property funds, principally in the segregated pensions arena, will increase Aberdeen's assets under management from £42bn to £54bn.
As well as a cash consideration of £5.8m and a further £1.5m to cover the value of net assets, Aberdeen will also pay RoProperty monies equivalent to the performance related fees received by Rreef until the deal is completed.
This is expected to be in May, pending the receipt of the requisite regulatory approval. Rreef last year posted profits of £4.2m before tax.
Upon approval, the Rreef operation will be integrated into Aberdeen's Glasgow offices, bringing the total funds under management by that office up to £4.6bn.
The move will further expand Aberdeen's property coverage, which is currently managed by Aberdeen Property Investors (API).
The move follows on from Aberdeen's acquisition of The Celexa Group earlier this month, which added a further £1.9bn in assets.
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