Henderson expands Australian market presence

London-listed asset manager Henderson Group said on Tuesday that it has acquired Perennial Fixed Interest Partners Pty and Perennial growth Management Pty from IOOF Holdings, which have combined assets under management (AUM) of £5.5bn.

The company also said it has increased its ownership of 90 West Asset Management Pty to 100% from 41%.

These acquisitions accelerate Henderson’s strategy to grow and globalise its business, taking its Pan Asian AUM to £9.6bn from £4.0bn.

Perennial's fixed income and equities expertise will significantly extend Henderson's offering to Australian clients, adding domestic investment management capability to Henderson's globally focused offerings and providing a broader platform for future growth in the Australian market.

Meanwhile, full ownership of 90 West will enable Henderson to benefit from the pipeline of new business the firms have created together, both in Australia and globally.

Henderson’s chief executive Andrew Formica said: “Developing our presence in Australia is a strategic priority for Henderson. These acquisitions will give us recognised domestic investment management capabilities to complement our global offering and take us into the Top 30 of Australian asset managers.”

Commenting on the news, RBC Capital Markets said that today’s acquisitions add much-needed scale to Henderson’s Australian operations and more than treble its AUM in Australia.

However, it said that with no information on what Henderson is paying or how the company’s surplus capital position will look pro-forma the acquisitions, it’s difficult to give a definitive opinion.