JP Morgan Asset Management has acquired BrightSphere Investment’s $5.3bn (€4.4bn) forest management and timberland investing company.
JP Morgan has paid an undisclosed amount to buy Campbell Global, a manager of over 1.7m acres worldwide with over 150 employees. Campbell Global was founded in 1981 and is headquartered in Portland, US.
The acquisition marks JP Morgan’s $168bn alternative investment arm’s entry into timberland investment and gives the asset manager exposure to forests around the world, including in 15 US states, New Zealand, Australia and Chile.
Carbon sequestration in forests worldwide will play an important role in carbon markets, and JP Morgan expects to become an active participant in carbon offset markets as they develop, the manager said.
George Gatch, chief executive officer of JP Morgan Asset Management, said: “This acquisition expands our alternatives offering and demonstrates our desire to integrate sustainability into our business in a way that is meaningful.
“Investing in timberland, on behalf of institutional and high net worth individuals, will allow us to apply our expertise in managing real assets to forests, which are a natural solution to many of the world’s climate, biodiversity and social challenges.”
Anton Pil, the global head of JP Morgan Global Alternatives, said acquiring Campbell Global provides JP Morgan with an opportunity to strengthen and diversify its environmental, social, and governance focus, including building a robust carbon sequestration platform.
Pil said: “Timber investing further enhances our asset class offerings in our alternatives business, ultimately passing along the unique benefits of forest management to our clients.
”Our knowledge of real estate and transport markets, in particular, is expected to provide opportunities to optimise the usage of timber and wood products more vertically.”
To read the digital edition of the latest IPE Real Assets magazine click here.