PATRIZIA AG to Acquire Infrastructure Manager Whitehelm
Posted on 09/13/2021
PATRIZIA AG entered into a share purchase agreement for Whitehelm, an independently owned infrastructure manager. With the acquisition, PATRIZIA will increase its Assets under Management to over 50 billion euros in line with its mid-term growth strategy. The acquisition will triple PATRIZIA’s infrastructure AUM to circa €5 billion and PATRIZIA is aiming to grow the segment in the mid-term to €15 billion to €20 billion. Closing of the transaction is subject to regulatory approvals and is expected to take place in the first quarter of 2022. More than 80% of Whitehelm’s revenues come from highly recurring management fees with long duration. The initial purchase price payment for the fully complementary acquisition is €67 million payable in cash and PATRIZIA treasury shares. The total purchase price is based on an earn-out structure and can reach a low three-digit EUR million amount if ambitious mid-term revenue growth targets are met. The earn-out will also be paid in a combination of cash and PATRIZIA shares. Whitehelm shareholders have agreed to a lock-up period for the PATRIZIA consideration shares, fully aligned to the interests of PATRIZIA shareholders.
Whitehelm has €6.9 billion invested across 108 direct infrastructure debt and equity investments since inception and €3.2 billion of funds currently under management. Whitehelm Advisers, the asset consulting arm of Whitehelm Capital and a provider of investment advice to institutional, government and higher education clients in Australia, manages over €22 billion of assets under advice.
Whitehelm works with many asset managers including APG Asset Management.