Feb. 1 (Bloomberg) -- TPG Capital LLP, the private-equity firm run by David Bonderman, agreed to buy GlobeOp Financial Services SA for about 508 million pounds ($800 million), adding a company that maintains financial records for hedge funds as the industry grows.
The firm will pay 435 pence a share in cash, 49 percent more than the closing price on Jan. 5, the day before GlobeOp said it was in talks to be acquired, TPG said in a statement today. London-based GlobeOp said it had started a strategic review last year to determine whether shareholders would benefit from the sale of the company.
“The independent directors believe that the offer represents good value and an attractive balance between the future opportunities and risks facing the business, and have therefore decided to recommend TPG’s offer to shareholders,” GlobeOp Chairman Ed Nicoll said in the statement.
GlobeOp, which calculates funds’ management and performance fees, and determines monthly net asset values, has increased the amount of hedge fund assets it does administrative work for by about 16 percent to $173 billion over the past year. While 2011 was the hedge fund industry’s second worst year ever in terms of investment performance, money managers still opened more than 1,100 new firms, according to data provider Eurekahedge Pte.
GlobeOp shares rose 21.9 percent to 432.75 pence as of 11:15 a.m. in London trading.
JPMorgan Chase & Co. advised Fort Worth, Texas-based TPG on the deal, according to the statement. GlopeOp, which was started in Luxembourg and has offices in London and New York, was advised by Evercore Partners.
TPG is currently investing a $19.8 billion global buyout fund. Recent investments in Europe include the purchase in August of a 30 percent stake in Denmark’s Saxo Bank A/S.
GlopeOp said in a Jan. 6 statement that it was holding discussions on a sale with TPG and Advent International Corp., a Boston-based private-equity firm. GlobeOp at the time said the negotiations were at a “preliminary stage” and that the board believed the company’s share price “significantly” undervalued growth prospects.
--With assistance from Anne-Sylvaine Chassany in London. Editors: Jon Menon, Edward Evans
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