EUROPE – The German banks that owned fund provider KGAL have sold a majority stake in the company to two private investors, who will name a new managing director.
The shareholders Bayerische Landesbank, Commerzbank, HASPA Finanzholding and Sal Oppenheim have sold almost 90% of their shares in KGAL to private investors Francis Louvard and Gregory Ingram.
This is the latest example of German regional banks consolidating their portfolios and shareholdings in the wake of the financial crisis.
In the summer, BNP Paribas bought into the German open-ended real estate fund business taking over the business from Commerzbank.
In the autumn, the French banking group bought iii-investments from HypoVereinsbank.
Over the last two years, Patrizia has snapped up real estate businesses from German regional bank LBBW and Bayern LB.
No reasons for the sale of KGAL were given, but the former owners will stay invested via a 10% stake.
The new owners confirmed they supported the KGAL’s growth strategy focusing on real estate, infrastructure and airplanes.
Louvard and Ingram are also managing directors at their company Thunderbolt Partners, a Luxembourg-based “private investment vehicle serving as a conglomerate platform to acquire majority stakes in well-established European companies”.
KGAL said the company’s managing director Georg Reul had now left “in connection to the sale of the shares”.
Reul joined KGAL in August 2012 as successor to Carsten Eckart, who left after five years as chairman.
Prior to joining KGAL, Reul had been on the management board at IVG Immobilien, which is now seeking compensation from former board members.
At KGAL, Kurt Holderer, currently CFO, will be taking over Reul’s role in addition to his tasks for now.
