Private investment firm KKR has agreed to acquire a minority stake in Söderberg & Partners, a non-bank provider of wealth management and corporate insurance services in the Nordic region and the Netherlands.
Image: KKR to acquire stake in Söderberg. Photo: Courtesy of IndypendenZ/FreeDigitalPhotos.net.
After the transaction is completed, Söderberg chairman and co-founder Per-Olof Söderberg, CEO and co-founder Gustaf Rentzhog and other founding members, will remain as the long-term shareholders.
The companies did not disclose the financial terms of the transaction, whichis subject to regulatory approval and is expected to be completed in the second quarter of this year.
Söderberg & Partners was established in 2004 when a group of nine analysts, led by CEO Gustaf Rentzhog, left which is claimed to be one of the Nordic region’s large financial companies.
The initial group of nine analysts has increased to around 1 800 employees in seven countries. The first business area was life & pension, followed by non-life insurance.
The business, which is claimed to have seen better growth in assets under management (AUM), started expansion in the Nordic region in 2014, by entering the Norwegian, Danish and Finnish markets, and expanding its pension advisory service into the Netherlands.
Upon completion of the transaction, KKR will continue to support and assist Söderberg in its strategy to introduce its platform, not only in the Nordic region, but also internationally and developing its product portfolio and services, proposition, and enhancing its capabilities across investment management and research.
Per-Olof Söderberg said: “I am extremely pleased to welcome KKR as a significant shareholder to help us deliver the next growth phase of Söderberg & Partners. We thank at the same time TA Associates for their strong support and partnership over the years that has enabled the company to become a leading player in the Nordic region.”
KKR member and financial services EMEA head Daan Knottenbelt said: “KKR has an exceptionally strong track record in the Nordic region and investing in founder-led businesses, and this, together with our in-depth understanding of financial intermediaries, differentiated us to the founders and management team.
Söderberg & Partners benefits from an extremely strong business model and market position, as well as supportive growth dynamics, and we look forward to the next phase of the business’ development.”