The deal, first announced in June, will see abrdn absorb four NYSE-listed healthcare and biotech thematic closed-end funds, the firm said today (30 October). The four funds total £2.6bn in assets under management, and generated £26m of revenue last year.
abrdn to acquire £600m closed-end fund assets from First Trust Advisors
Meanwhile, Tekla’s investment team will also join abrdn, allowing the firm to draw on their expertise to bolster its presence in health and biotech.
“The Tekla team has an impressive 20-year track record investing in healthcare and biotech companies,” said Stephen Bird, abrdn CEO. “They have built a highly-profitable business, which delivers great returns for investors.
“As the world adapts to an environment where we are all living longer, there is a huge demand for capital in these sectors – matched with a demand from investors to support a clear global megatrend. We look forward to what the team can do now that they are part of the abrdn platform.”
abrdn to sell European private equity business for £100m
The move follows the announcement on Tuesday (24 October) that the asset manager’s US arm would acquire £600m in assets from four closed-end funds managed by First Trust Advisors, subject to regulatory approval.
Both transactions will boost abrdn’s closed-end fund business, which currently manages £23.8bn in AUM in US and UK listed closed-end funds. By its own calculations, the firm is the largest closed-end fund manager in the world.
