Dechert’s Financial Services M&A Practice on Track for Another Landmark Year – 1H 2021 in Review

Consolidation within the financial services industry has kept its pace from 2020 into the first half of 2021, and Dechert’s financial services M&A practice has been at the forefront of this activity, representing clients in various subsectors of the financial services industry in jurisdictions around the globe. Following a remarkable 2020, Dechert’s FS M&A team has been hard at work on behalf of its financial services clients, handling more than 17 business-critical transactions in the first half of 2021.

• Seeing it through – Since first announcing the deal in August 2019, Dechert has worked on behalf of client GIC, the sovereign wealth fund of Singapore, as part of an investor consortium, to close its US$27 billion sale of Refinitiv to the London Stock Exchange Group. This complex, multi-jurisdictional deal closed in January 2021 after receiving approval by LSEG shareholders, competition approval (including in the U.S. and EU), and financial regulatory approvals, including in the UK, France, Italy and the U.S. Dechert also provided guidance to GIC on a number of other deals in the financial services space, including its acquisition of Ascensus, a provider of retirement planning and college savings services in the United States, and in the combination of Alight Solutions, a benefits administration and cloud-based human resource and financial solutions providers, with Foley Trasimene Acquisition Corp. (a pro-forma enterprise value for Alight of approximately US$7.3 billion).
• Advising key players in expansion of ESG offerings – Dechert regularly advises leading companies in the financial services industry on transactions that expand their offerings, including offerings related to Environmental, Social and Governance (ESG) investments. Dechert recently advised JP Morgan Chase & Co. on a number of fronts, including JPMorgan Asset Management’s acquisitions of Campbell Global (a recognized leader in global timberland investment and natural resource management) and OpenInvest Co, a mission-driven investment management platform and RIA.
• Private equity plays – A London-based group of Dechert lawyers represented Nordic Capital and the selling shareholders in the €2.143 billion sale of Itiviti, a leading provider of trading technology and services to financial institutions worldwide, to Broadridge Financial Solutions, Inc., a global fintech leader. During Nordic Capital’s ownership, Itiviti developed from being a specialist financial software provider to become a global leader offering a modern cross-asset capital markets platform with more than 2,000 customers worldwide, over €200 million in revenues and approximately 1,000 employees. Dechert’s core team previously advised Nordic Capital and Itiviti on the acquisition of Ullink, an add-on acquisition to create a full-service technology and infrastructure provider.
• Groundbreaking BDCs – Dechert continues to represent many of the industry’s top publicly traded and private business development companies (BDCs), including on the recently closed merger involving Dechert client FS/KKR Advisor (a partnership between FS Investments and KKR Credit Advisors) in the merger of FS KKR Capital Corp. and FS KKR Capital Corp. II, two publicly traded business BDCs. The merger created one of the largest BDCs in the U.S., with US$14.9 billion in assets under management.
• Banking subsidiary transactions – Dechert advised Bank Audi sal, a Lebanon-based universal bank and financial services company headquartered in Beirut, on the sale of its Egyptian subsidiary, Bank Audi sae, to First Abu Dhabi Bank. The transaction represents a strategic opportunity for Bank Audi following its successful investment in Egypt, and proceeds from the sale will contribute to its capitalization and financial resilience.

“As these deals illustrate, our commitment to our clients interested in transactions within the financial services industry knows no bounds,” said partner Ken Young, who focuses his practice on financial services M&A. “Whether it’s a market-changing asset management deal, or a headline-grabbing private equity buyout, our team at Dechert has consistently proven we can provide all types of guidance to get the deal done in an industry that is ever-changing with new entrants, market pressures and investors. Last year didn’t come without its challenges, but from that experience we’ve only sharpened our skillset – and, as the work from the first half of 2021 indicates – we’re ready to assist new and current clients looking to make a deal in the financial services industry.”

One of the preeminent advisors to the financial services industry, Dechert delivers a thorough understanding of the unique issues inherent in this sector. As one of the most active law firms for M&A globally, Dechert knows how to negotiate and execute successful transactions in any deal environment. Since 2019, our financial services M&A lawyers have guided clients through more than 85 transactions totaling more than US$90 billion. For more information, please see our Financial Services M&A 2020 Highlights.

About Dechert

Dechert is a leading global law firm with 23 offices around the world. We advise on matters and transactions of the greatest complexity, bringing energy, creativity and efficient management of legal issues to deliver commercial and practical advice for clients.