Announcement of New Acquisition
19 August 2020
We are pleased to announce today that we have signed a deal to acquire a majority stake and provide growth capital to Hawksford Holdings Limited (Jersey) or “Hawksford”.
Hawksford is an international provider of fund, corporate, and private client administration services to investment fund, institutional, entrepreneurial and UHNW clients across the globe. Hawksford is headquartered in Jersey and has offices in China, Hong Kong, Singapore, and London. It generated annual revenues of £35 million in the last twelve months and employs over 400 people across various jurisdictions.
STAR originally identified Hawksford as an attractive investment opportunity given its stable and loyal long-term client base, annuity like revenue streams and defensible margins. It operates across established and emerging markets where larger players such as Hawksford are optimally suited to serve clients operating and investing across multiple jurisdictions and that face an ever-increasing regulatory compliance burden. Hawksford is an optimal fit for STAR’s theme of “virtual infrastructure” and represents a strong and cash generative platform from which to execute a meaningful buy and build strategy.
The deal was negotiated on a bilateral basis after a long period of engagement with both management and the current majority owners, Dunedin. The transaction has been structured to provide Dunedin with cash proceeds whilst retaining a minority stake, and an element of upside as STAR and management execute on the buy and build plan. STAR will work closely with the existing management team on new opportunities for accelerated growth. Several targets for add-on acquisition to the Hawksford platform have been identified.
The deal will complete pending regulatory approval in each of the relevant jurisdictions that Hawksford operates in.
Uniti Bhalla, Paul Gough and Tony Mallin