US asset manager PineBridge Investments has agreed to buy Benson Eliot Capital Management for an undisclosed sum.
Benson Elliot’s entire team of 40 professionals will join PineBridge when the deal completes.
PineBridge said the acquisition will allow it to expand its client offerings in alternatives and add new capabilities and investment vehicles to its private funds, structured capital and private credit businesses.
PineBridge was formerly part of AIG Investments’ asset management arm, before it was sold in 2010 to a subsidiary of Asia-based Pacific Century Group.
Benson Elliot, which was founded in 2005, manages more than $3.5bn (£2.9bn) of equity. Its portfolio comprises office, retail, hotel and residential properties across Europe.
It has launched four European funds. The most recent of those – Benson Elliot Real Estate Partners V – closed in 2019 at €836m (£750m).
Greg Ehret, chief executive of PineBridge, said: “Real estate is a strategically important asset class for institutional investors, such as pension funds and insurance companies, which are looking to meet their long-term investment objectives, especially during a period of low real interest rates.
“Benson Elliot’s industry-leading expertise in European real estate will complement and diversify our firm’s investment offering allowing us to best serve our global client base.”
Marc Mogull, executive chairman and chief investment officer at Benson Elliot, said: “Some months ago the leadership team at Benson Elliot undertook a strategic review to explore how we could build on 15 years of success at Benson Elliot.
“We wanted to ensure that our organisation would remain at the forefront of private equity real estate investing in a changing market environment.”
He added that the partnership will “enable us to put in place the infrastructure for future growth” and to “continue attracting and developing the best talent in the industry”.
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