EUROPE – Germany's Patrizia has agreed to acquire London-based Tamar Capital Group, growing its assets under management by €700m and granting it a foothold in the UK market.
The deal, subject to regulatory approval in the UK, will see Patrizia take on all of the company's employees – including founder Rob Brook.
A Patrizia spokesman said no decisions had been made exactly how Tamar would be integrated, only that all employees would remain in their current roles, and declined to disclose the price of the deal.
Chief executive Wolfgang Egger said the deal marked the latest step in the company's European expansion – following 2010's acquisition of LB Immo Invest, which saw it move into commercial real estate, following more than a quarter of a century focused on residential property.
Egger added that London would act as the ideal location for Patrizia to enter joint ventures with other investors.
"There is interest among opportunistic investors for partners with local real estate expertise who also participate in the company's success with a co-investment," he said.
Patrizia has previously enjoyed some success as co-investor, earlier this year partnering with Swiss buffer fund AP3 and several other German and Swiss pension funds and insurers to buy a €1.3bn residential portfolio from LBBW Immo.
A spokesman added that the acquisition would also see Patrizia taking on new asset classes, including light industrial units, and expand its presence in other European countries, including Belgium, France, Ireland and Scandinavia.
He noted, however, that one of the attractions was that it would allow Patrizia, previously fairly unknown in the UK, to grow its profile, with Brook and his colleagues "opening doors that were previously not open to us".
Patrizia currently manages a €7bn portfolio across its residential and commercial property businesses and previously said it hoped to reach €10bn by 2015.