Aberdeen Standard Investments (ASI) is selling its Nordic direct real estate business to Danish property management company DEAS Group, six months after it said it was considering a potential disposal.

DEAS Group will take over the management of 132 real estate assets worth some €2.3bn, and ASI will appoint the company to manage a further €1.7bn of assets on its behalf.

ASI said it remained “committed to the Nordic region” and would maintain exposure through its pan-European and sector-specific real estate funds.

DEAS Group was selected as the preferred bidder to acquire the business and the acquisition and the new mandate will see DEAS Group expand into other Nordic markets and double its total assets under management from €4bn to €8.2bn.

Neil Slater, global head of real estate at ASI, said: “We are delighted to partner with DEAS Group to create a long-term solution for our domestic real estate business across the Nordics.

“Our primary focus was to find a high quality asset manager that continues to provide a superior service for clients invested in Nordic direct real estate portfolios.

“Furthermore, as part of the intended transaction, we will enter into a domestic asset management arrangement with DEAS Asset Management enabling ASI to continue, as part of its international real estate strategy, to have an investment allocation to the Nordics.

“After an extensive due diligence process, DEAS Group was a clear choice from a client, cultural and real estate perspective.”

Henrik Dahl Jeppesen, CEO of DEAS Group, said: “Our intention is to establish a pan-Nordic full-service provider within real estate that offers execution in all stages of the value chain for investors.

“We will build on local expertise and best practice throughout the Nordic region.”

The proposed transaction is subject to ASI completing consultations with Swedish trade unions and approval from relevant internal boards.