Mergers & acquisitions advice in connection with the acquisition of an asset management company in French-speaking Switzerland
Strategic and financial advisory mandate in the context of an external growth operation in the asset management sector.
Mandate description
Mandate of mergers & acquisitions advice led to a Swiss banking institution in the context of the acquisition of a independent asset management company based in German-speaking Switzerland.
The operation was part of a geographic and sectoral expansion strategy aimed at strengthening the presence of the purchaser in the collective management and specialized funds market.
The target company, regulated in Switzerland and with a diversified institutional clientele, managed a portfolio of funds and mandates across several asset classes.
The mandate was for structuring the acquisition process, the Valuation review And the coordination of transactional and regulatory aspects.
Key issues
The main challenges consisted of:
- assess operational and commercial synergies between the two structures;
- analyze profitability and cost structure of a management company subject to strict regulatory constraints;
- structure the transaction to ensure compliance with FINMA requirements and industry prudential standards;
- secure the valuation of the target based on tangible financial and strategic criteria;
- and adapt the transaction schedule to Swiss regulatory developments relating to the representation and distribution of foreign funds, in order to guarantee the full compliance of the transaction before it is finalized.
The multiples observed for comparable companies in the asset management sector in Switzerland were generally between 3x and 6x EBITDA, based on size, operating margin and customer profile.
Approach and results
The intervention made it possible to model several acquisition scenarios, to analyze post-transaction value creation and to coordinate the financial and regulatory due diligence.
The process, conducted in a competitive framework, led to the conclusion of a harmonious integration of the target while maintaining operational continuity and existing governance.
This operation strengthened the position of the purchaser on the Swiss market, while expanding its product offering and geographic footprint.
The transactions shown include those completed by, or with the involvement of, Hectelion team members in current or previous professional roles. They are presented for illustrative purposes only and do not imply exclusive responsibility by Hectelion.
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The transactions presented were carried out by, with the contribution of, or with the participation of members of the Hectelion team in the context of functions performed currently or previously.