New York Life Investment Management has made its first European private equity real estate investment by acquiring a 40% stake in Tristan Capital Partners.
The US firm’s affiliate Candriam Investors Group said as part of an agreed strategic partnership with Tristan and the related acquisition of the stake, it will also have a first option to increase it in the future.
The partnership with Tristan, which manages €9.1bn of real estate assets, enables Candriam to add real estate, a major asset class which continues to attract institutional investor demand, to its multi-specialist offerings.
Candriam is a multi-specialist asset manager with over €112bn of assets under management.
Candriam’s existing offerings include investment solutions in fixed income, equities, alternatives, sustainable investments and asset allocation strategies.
As part of the deal, Tristan will retain its existing management and investment autonomy.
Yie-Hsin Hung, the CEO of New York Life Investment Management, said: “We are fully supportive of Candriam’s expansion into the real estate market with Tristan Capital Partners.
“The boutiques within our growing global asset management business offer a powerful, diverse range of insights and differentiated strategies to our clients, and this strategic partnership further demonstrates our commitment to expanding our alternatives capabilities.”
Naïm Abou-Jaoudé, the CEO of Candriam and chairman of New York Life Investment Management International, said: “As we grow our investment offerings and operations in Europe, we continue to seek strategic relationships and acquire complementary capabilities.
“Both our firms share the same values and strong corporate culture that have shaped our respective success. I am convinced that this strategic partnership will allow Tristan to further accelerate growth and capitalise on the growing demand for real estate investments.”
Ric Lewis, the chairman and co-CEO of Tristan, said: “Through the strategic partnership with Candriam, we will be in an even stronger position to pursue our current and future business plan and to offer more attractive opportunities, products and strategies to our existing and future clients.
“With its complementary multi-specialist model, Candriam provides an excellent strategic fit and an opportunity to combine our specialist European market knowledge with a leading global investment platform.”
New York Life Investments is the investment management arm of the US insurer New York Life Insurance Company.