Apex Group Ltd announces its acquisition of IP Management Company, a South African unit trust management company

Global, 18 April 2024 — Apex Group Ltd. (“Apex Group” or “The Group”), a global financial services provider, today announces its acquisition of IP Management Company (RF) (Pty) Ltd (“IPMC”), a South African unit trust management company (“ManCo”).

This follows the recent acquisition of IP Fund Managers Guernsey Ltd (“IPFMG”), a Guernsey ManCo.

IPMC is a collaboration between established financial services businesses, which have operated unit trust funds independently for more than fifteen years. These businesses compete and promote their products independently, but co-exist in a synergistic relationship within IPMC, creating a business with depth of resources and diversification of assets under administration.

The IPMC management team brings extensive experience in collective investment scheme administration, including co-named portfolios, and foreign collective investment scheme representation. The acquisition of IPMC further strengthens Apex Group’s ManCo offering in the South African market, adding assets under administration of ZAR22bn, across over 40 funds and ten fund managers.

Apex Group’s existing ManCo services, delivered under the FundRock brand, enable more than 1,200 funds with a total of €221 billion in assets under management in 14 countries, to streamline their operations in a cost-effective manner. Apex Group’s platform in South Africa currently employs over 1,200 people across offices in Cape Town and Johannesburg, servicing 140 clients with assets of c. ZAR 2.5trn.

As part of Apex Group, IPMC’s clients will now benefit from access to the Group’s global single-source solution, providing all services required across the full value chain of their business via one convenient and efficient relationship. This includes Apex Group’s Digital Banking, Fund Raising, Distribution and Administration solutions, as well as pioneering ESG Rating, Reporting and Advisory services.

The addition of IPMC is the latest in a series of strategic global acquisitions for Apex Group to further grow its ManCo offering, including the recently announced additions of the ManCo businesses of MJ Hudson in Luxembourg and Ireland, Boutique Collective Investments in South Africa and Maitland in Luxembourg.

Peter Hughes, Founder and CEO of Apex Group says:
“It is great to see our expansion across South Africa. IPMC will provide white-labelled, collective investment portfolio administration to third party investment managers. The additional scale and resource are needed to continue delivering our cutting-edge solutions to our African and global clients, which navigates the complex regulatory environment and drives even more growth within the region.

“This acquisition will make us one of the largest providers in the marketplace, where we can offer a personalised, single-source solution, which includes the full suite of services required for investment managers to focus on their day to day.”

Brett Paton, Director, IP Management Company adds:
“With IPMC becoming part of Apex Group and FundRock in South Africa, our clients will now benefit from the efficiency of a single relationship with a global service partner delivering technology-enabled solutions across the full value chain of their business. This will enable clients to achieve further resource, time and cost efficiencies in their operations via third-party ManCo solutions supplemented with fund distribution and administration, banking, depositary and custody services, all available through one relationship.

“We are impressed by the depth and breadth of product and talent we have seen so far in Apex and excited for the opportunities that lie ahead.”

The acquisition of IPMC was subject to regulatory approval and customary closing conditions, all of which were satisfied and the deal closed on 2 April 2024. Financial terms of the transaction are not disclosed.

Grant Thornton acted as financial advisor to Apex Group, with Bowman South Africa providing legal counsel.

About Apex Group

Apex Group Ltd., established in Bermuda in 2003, is a global financial services provider. With over 13,000 employees globally, Apex Group provides services into 50 jurisdictions delivering an expansive range of services to asset managers, financial institutions, private clients, and family offices. The Group has continually improved and evolved its capabilities to offer a single-source solution through establishing the broadest range of services in the industry; including fund raising solutions, fund administration, digital onboarding and bank accounts, depositary, custody, super ManCo, corporate services and a pioneering ESG ratings and advisory solution. Apex Group’s purpose is to be more than just a financial services provider and is committed to driving positive change to address three core areas; the environment and climate change, women’s empowerment and economic independence, education and social mobility.