Citco sells up Cork business to Clearstream
23 April 2014 Cork
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Citco has sold its Irish hedge fund custody processing business to Clearstream.
The price was withheld, but was said to be in the mid double digit million euro range.
The deal allows Clearstream to significantly expand its hedge fund services for financial institutions whilst enabling Citco to strategically focus on its core fund investor client base鈥攏amely fund of hedge funds, family offices, insurance companies and pension and endowment schemes鈥攙ia its Citco Alternative Investor Services (CAIS) division.
The acquisition of Citco Global Securities Services鈥� (CGSS) hedge fund custody infrastructure adds around 300 CGSS employees based in Cork to Clearstream and licences Clearstream to use Citco鈥檚 custody IT infrastructure. The two companies will ensure the takeover takes place in a gradual way in order to ensure a smooth transition.
Philippe Seyll, member of the executive board and head of investment funds services at Clearstream, said: 鈥淭he additional business of Citco Global Securities Services鈥� hedge fund custody operation enables us to fast-track our standardisation and automation initiatives in the hedge funds industry and to offer our financial institution customers a superior value proposition.鈥�
鈥淭he know-how and expertise in hedge funds operations we acquire from Citco combined with our operational excellence in mutual funds will enable our Vestima platform to become the leading international fund market infrastructure for all types of funds.鈥濃�ㄢ��
William Keunen, global head of Citco鈥檚 asset servicing business, said: 鈥淲e are delighted to be able to offer our financial institution clients the opportunity to combine Citco鈥檚 capabilities in the alternative sector, together with Clearstream鈥檚 existing fund platform for a true one-stop-shop fund processing product."
"Citco鈥檚 Alternative Investor Services division will continue to focus on its core business of providing a full suite of asset related services to our core fund investor client base that allocate to alternative asset classes."
The price was withheld, but was said to be in the mid double digit million euro range.
The deal allows Clearstream to significantly expand its hedge fund services for financial institutions whilst enabling Citco to strategically focus on its core fund investor client base鈥攏amely fund of hedge funds, family offices, insurance companies and pension and endowment schemes鈥攙ia its Citco Alternative Investor Services (CAIS) division.
The acquisition of Citco Global Securities Services鈥� (CGSS) hedge fund custody infrastructure adds around 300 CGSS employees based in Cork to Clearstream and licences Clearstream to use Citco鈥檚 custody IT infrastructure. The two companies will ensure the takeover takes place in a gradual way in order to ensure a smooth transition.
Philippe Seyll, member of the executive board and head of investment funds services at Clearstream, said: 鈥淭he additional business of Citco Global Securities Services鈥� hedge fund custody operation enables us to fast-track our standardisation and automation initiatives in the hedge funds industry and to offer our financial institution customers a superior value proposition.鈥�
鈥淭he know-how and expertise in hedge funds operations we acquire from Citco combined with our operational excellence in mutual funds will enable our Vestima platform to become the leading international fund market infrastructure for all types of funds.鈥濃�ㄢ��
William Keunen, global head of Citco鈥檚 asset servicing business, said: 鈥淲e are delighted to be able to offer our financial institution clients the opportunity to combine Citco鈥檚 capabilities in the alternative sector, together with Clearstream鈥檚 existing fund platform for a true one-stop-shop fund processing product."
"Citco鈥檚 Alternative Investor Services division will continue to focus on its core business of providing a full suite of asset related services to our core fund investor client base that allocate to alternative asset classes."
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