The acquisition will enable Goldman Sachs to strengthen its fund management and distribution platform across retail and institutional channels in Europe by leveraging NNIP’s expertise
The Goldman Sachs Group has agreed to acquire the Netherlands-based asset manager NN Investment Partners (NNIP) from NN Group for around €1.6bn ($1.9bn).
NNIP offers a wide range of equity and fixed income products, with a strong Environmental, Social and Governance (ESG) integration across its business.
It has nearly $355bn in assets under supervision and around $70bn in assets under advice, and 75% of its assets under supervision are ESG integrated.
The asset manager employs more than 900 professionals in 15 countries and combines the use of data and technology with fundamental analysis in its investment processes.
The acquisition is expected to close by the end of the first quarter of 2022, subject to regulatory and other approvals and conditions.
Upon closing, NNIP’s employees will be transitioned to Goldman Sachs Asset Management.
Also, Goldman Sachs Asset Management will form a long-term partnership with NN Group to manage around $190bn portfolio of assets.
With the partnership, the company is anticipated to become a large-scale non-affiliated insurance asset manager, with more than $550bn in assets under supervision.
The acquisition will enable Goldman Sachs to strengthen its fund management and distribution platform across retail and institutional channels in Europe by leveraging NNIP’s expertise.
NNIP is said to complement Goldman Sachs Asset Management’s existing European footprint, and add new capabilities.
Also, it will advance growth in products such as European equity and investment grade credit, sustainable and impact equity, and green bonds.
The US-based investment bank said that the transaction is in line with its strategy to scale its European business, and will bring its assets under supervision in Europe to over $600bn.
Goldman Sachs chairman and CEO David Solomon said: “This acquisition allows us to accelerate our growth strategy and broaden our asset management platform.
“NN Investment Partners offers a leading European client franchise and an extension of our strength in insurance asset management.
“Across NN Investment Partners’ offerings, they have been successful in integrating sustainability which mirrors our own level of ambition to put responsible investing and stewardship at the heart of our business.
“We look forward to partnering with the team at NN Investment Partners as we focus on delivering long-term value to our clients and our shareholders.”
Last month, Goldman Sachs has opened a new office in Hyderabad, as part of its commitment to expand its global centre for engineering and business innovation in India.