German financial services group Aragon and HSH Real Estate are forming a 'strategic partnership' which will focus on closed-end fund sales. Under the agreement, HSH Real Estate has acquired 25.1% of Aragon's subsidiary, BIT Beteiligungs- & Investitions-Treuhand, for an undisclosed amount. The transfer is subject to approval from the competition authorities.
German financial services group Aragon and HSH Real Estate are forming a 'strategic partnership' which will focus on closed-end fund sales. Under the agreement, HSH Real Estate has acquired 25.1% of Aragon's subsidiary, BIT Beteiligungs- & Investitions-Treuhand, for an undisclosed amount. The transfer is subject to approval from the competition authorities.
'In HSH Real Estate, we have gained a strategic partner who will support us ideally in the planned expansion of our subsidiary, BIT,' said Aragon's CEO Sebastian Grabmaier. 'The market segment of trading platforms for closed-end funds is currently experiencing an historical wave of consolidation in the wake of the financial market crisis. We intend to act jointly as the driving force in the imminent process of market consolidation. We have secured the required capital resources as part of the transaction.'
In a separate transaction, Aragon has acquired 20% of BIT from Jan Bäumler, the company's former management board member who recently stepped down. As a result, Aragon will hold a 54.9% stake in BIT compared to the previous 60%. Sascha Sommer, CEO of BIT, continues to hold the remaining 20% of BIT shares.
