Link Group to acquire Pepper European Servicing
Link Group have signed an agreement to acquire Pepper European Servicing (PES) from Pepper Group for an upfront consideration of €165m.
PES provides end-to-end loan servicing and asset management across residential and commercial segments, with market positions in the UK, Ireland, Spain, Greece and Cyprus.
The acquisition will deliver immediate scale for Link Group’s banking and credit management (BCM) division in existing and new jurisdictions.
Once completed, PES will integrate with Link Group’s BCM business.
Combined, the businesses will have approximately €130bn of assets under management and employ over 1,800 people.
Robbie Hughes, chief executive of banking and credit management at Link Group, said: “In 2019, we set our strategic vision to become the leading independent servicer in Europe with an expanding global footprint.
“This transaction accelerates that vision and will see two high-quality businesses integrated to create a leading pan-European asset servicer and manager, with significant potential for growth in existing and new markets.
“This is a very exciting opportunity for BCM, PES, our collective teams and clients.
“Together with PES, we will provide a best-in-class proposition to clients from our deep talent pool, from our enhanced infrastructure and through a diversified client base.”
Fraser Gemmell, chief executive of Pepper European Servicing, added: “We’re delighted to have completed this deal, which reflects very positively on the quality of the PES business and our team.
“We believe it’s very good news for our clients and people as it will facilitate the ongoing growth of the business while also providing Link Group with the opportunity to accelerate its European growth plans through the creation of a leading pan-European multi-asset servicer.
“This will leverage the combined strengths, experience and capabilities of the Pepper and Link Group platforms to deliver market-leading services for investors and financial institutions from across the globe.”