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Goldman Sachs closes €1.7bn deal for NN IP

As it enters into 10-year partnership with NN Group to manage $180bn of assets


Pete Carvill

NN Investment Partner’s acquisition will see the 900-head investment firm become integrated within Goldman Sachs Asset Management (GSAM).

According to a statement, the acquisition brings Goldman Sachs’ assets under supervision to approximately $2.8trn. It also brings assets under supervision in Europe to over $600bn, aligning with the firm’s strategic objectives to scale its European business and extend its global reach.

David Solomon, chairman and CEO of Goldman Sachs, said: “This acquisition advances our commitment to put sustainability at the heart of our investment platform. It adds scale to our European client franchise and extends our leadership in insurance asset management.”

As part of the transaction, GSAM has entered into a long-term strategic partnership agreement with NN Group to manage an approximately $180bn portfolio of assets.

The acquisition was first mooted in August 2021.

Back then, NN IP said that the deal would consist of a base purchase price of €1.5bn, a ticking fee and excess capital to be distributed in the form of a dividend before completion. As part of the agreement, NN Group and Goldman Sachs Asset Management will enter into a 10-year strategic partnership under which the combined company will continue to provide asset management services to NN Group.

That original announcement came four months after NN Group confirmed it was assessing the future of its asset management business.

Never stated explicitly, the move did seem to lead to Satish Bapat, CEO of NN IP, stepping down the same day as a member of the management board of NN Group.

According to its website, NN Group is an international financial services company, active in 19 countries, with a presence in several European countries and Japan. With all its employees, the group provides retirement services, pensions, insurance, investments and banking to approximately 18 million customers.