Key facts
- Nuveen and Schroders have combined to create an asset management firm with over $2.6 trillion in assets under management.
- Schroders will continue to operate as a standalone business within Nuveen for at least 12 to 18 months.
- Richard Oldfield, CEO of Schroders, will report to Nuveen CEO William Huffman and join Nuveen's executive management team.
- The acquisition was a cash transaction valuing Schroders at approximately £9.9 billion ($13.5 billion).
- Schroders shareholders will receive £5.90 per share plus up to 22 pence per share in dividends.
U.S. asset manager Nuveen announced on Thursday that it has completed its acquisition of British fund manager Schroders. The deal creates a combined entity with over $2.6 trillion in assets under management and a presence in more than 40 markets globally.
Schroders will continue to operate as a separate business within Nuveen for the next 12 to 18 months. Richard Oldfield, Group Chief Executive of Schroders, will lead the Schroders group and report to Nuveen CEO William Huffman, also becoming a member of Nuveen's Executive Management Team.
The acquisition was a cash transaction valuing Schroders at approximately £9.9 billion (about $13.5 billion). Schroders shareholders are set to receive £5.90 per share, along with the right to retain dividends of up to 22 pence per share before completion. This package represents a significant premium to Schroders' pre-announcement closing stock price.
Nuveen, owned by Teachers Insurance and Annuity Association of America, stated that the combination aims to build a global public-to-private platform by integrating Nuveen's strengths in income and alternatives with Schroders' expertise in public markets and wealth management.