BTPS completes on sale of majority stake in Hermes for £246m

BT Pension Scheme (BTPS) has completed the sale of its majority interest in Hermes Investment Management for £246m to US investment giant Federated Investors.

The sale, annouced in April, sees Federated Investors acquire a 60 per cent interest in Hermes, while BTPS will retain a 29.5 per cent share, with the final 10.5 per cent being split between members of Hermes management.

An additional £13.9m of regulatory capital was paid for, bringing the total purchase price up to £259.9m.

The deal values Hermes at £410m, the investment manager currently has £327.6bn in assets under management.

BTPS trustee chair, said: ‘‘Hermes has delivered excellent investment performance and stewardship to the scheme over many years, operating initially as our in -house manager and in recent years, building on this capability to develop a strong multi-client business.

“This transaction is the next step in the evolution of Hermes, as it continues to expand its global business. In Federated, we have identified a firm with shared values and beliefs that will both help grow Hermes and ensure the continued focus on delivering excellent investment performance and steward ship for the scheme, in the interests of our members.’’

BTPS now have the opportunity to sell additional shares over the next three to six years.

    Share Story:

Recent Stories


FREE E-NEWS SIGN UP

Subscribe to our newsletter to receive breaking news and other industry announcements by email.

  Please tick here to confirm you are happy to receive third party promotions from carefully selected partners.


Helping the credit challenged get mortgage ready
A rising number of borrowers are finding it harder to access mortgages due to being credit challenged - whether that’s from historic debts, a county court judgment, or having little to no credit history.

In the latest episode of the Mortgage Insider podcast, Phil Spencer is joined by Eloise Hall, Head of National Accounts at Kensington Mortgages, and Alastair Douglas, CEO of TotallyMoney.


Inside the world of high net worth lending
The mortgage market continues to evolve, and so too does the answer to the question: what is a high net worth individual in today’s market? In this episode of the Mortgage Insider podcast, host Phil Spencer is joined by Stephen Moroukian, Head of Product and Proposition for Real Estate Financing at Barclays Private Bank, and Islay Robinson, founder and CEO of Enness Global. Together, they explore what brokers really need to know when supporting high net worth individuals.

The future of the bridging industry and the Autumn Budget
MoneyAge content editor, Dan McGrath, is joined by head of marketing at Black & White Bridging, Matt Horton, to discuss the bridging industry, the impact of the Autumn Budget and what the future holds for the sector.