TMF Group expands US presence by acquiring Venture Back Office

TMF Group, a provider of global administrative services – including fund accounting and administration – has today completed the acquisition of Venture Back Office (VBO), a US based third-party provider of solutions to private equity, real assets, credit, and emerging manager funds.

As a result, TMF Group will now administer more than EUR150 billion worth of assets on behalf of its global fund manager client base.
 
The acquisition is a key milestone in TMF Group’s strategy to continue to grow its global fund services business and bolster its capabilities in the North American market, particularly in the US. The deal follows other carefully selected acquisitions that have taken place recently - including the acquisition of State Street’s fund administration business in the Channel Islands, IQ-Nexus in The Netherlands and Selectra a third-party AIFM Manco in Luxembourg - all designed to strengthen the company’s fund services proposition.
 
Jan Willem van Drimmelen, TMF Group’s Head of North America, says: “We are delighted to welcome the team at VBO into the TMF Group fold. The US market is particularly important for the group as it is home to 60 per cent of the world’s private equity market. VBO’s skillset and knowledge of local requirements significantly enhances our global offering and domestic capabilities – the combination of our global mindset, matched with VBO’s local expertise, looks set to be very powerful.”
 
VBO was founded in 2007 and provides a range of services from fund administration to investor services, as well as solutions for management and portfolio companies. It is one of a few fund administrators that provides ASC 820 Fair Value Measurement services.
 
Andrew O’ Shea, TMF Group’s Global Head of Fund Services, says: “Our Fund Services practice is delivering tremendous organic growth and we are further reinforcing our team with a series of carefully selected M&A transactions. The acquisition of VBO is an important milestone for TMF Group. It is our first US Fund Services acquisition and will enable us to deliver an even greater range of solutions to our clients.”
 
Talking about the move, Mike Gorman, VBO’s Founder, says: “Being part of TMF Group will be beneficial for our clients as well as our employees. Their technology, service offerings and global network of experienced professionals will be able to support our clients’ growth plans and offer employees career opportunities. We are excited to be joining such a dynamic organisation, with a global footprint, and believe this will be an enriching experience, providing us with further opportunities to build on our core strengths.”
 
The sellers were assisted by RSM (tax advisor) and Smith Anderson (legal adviser) for this transaction. TMF Group was assisted by Deloitte (tax adviser) and Mayer Brown (legal adviser).