German fund manager Patrizia has increased its assets under management by 1.5% to €41.6bn (£38.3bn) during the first half of 2019, while operating income rose by 8.9%.
Operating income climbed to €79m on the back of solid growth in management and performance fees. Patrizia said these offset the impact of disposals of phase-out principal investments and income from co-investments that affected the comparable period in 2018.
Guidance for operating income has been set between €120-130m for the full year.
The fund manager completed €3bn transactions in Europe during the six-month period.
Karim Bohn, chief financial officer, said: “The strong set of H1 results is fully in line with our budget. While we expect the majority of our targeted FY 2019 transaction volume to be signed in the second half of 2019, the majority of budgeted performance fees was generated already in H1 2019.”
Recurring management fees increased by 19.7% year-on-year to €97.1m, while performance fees leaped by 75.2% to €64.9m.
Transaction fees were down 30.7% to €12.1m on the back of lower overall transaction activity in the European market.
Patrizia said it expects transaction activity will pick up in the second half of 2019, with “a solid pipeline under negotiation” for its clients.
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