Aretex Capital Partners to Acquire Alerian
May 22 2018 - 8:09PM
Business Wire
Aretex Capital Partners (“Aretex”), a global private equity
firm, today announced that it has entered into a definitive
agreement to acquire Alerian, the market leading provider of energy
infrastructure indices and market intelligence based in Dallas,
Texas. The terms of the transaction were not disclosed.
Alerian develops and maintains a series of indices for the
energy sector and equips investors to make informed decisions about
investments in energy infrastructure. Alerian licenses its indices
to third parties for the creation of investment vehicles, such as
Exchange Traded Products (ETPs). These investment vehicles are
structured products that are separately managed by product issuers,
including well-known global asset managers and investment banks.
ETPs are co-branded with Alerian’s name and marketed by product
issuers to retail and institutional investors. As of April 30,
2018, Alerian’s indices were used by ETPs with assets under
management over $14 billion.
Alerian will continue to be led by its current CEO, Kenny Feng.
The underlying indices will continue to be operated in the
exceptional manner in which they have historically been constructed
and overseen. Mr. Feng will roll over a substantial portion of his
sale proceeds into Alerian as part of the transaction.
Mr. Feng said, “Our partnership with Aretex will enable us to
dedicate additional resources to the business and further support
our partners. We have been impressed with Aretex’s collaborative
approach, and we are excited to grow the business together. We
believe Alerian is well positioned for growth given the long-term,
secular trends in the financial services sector, including the
shift from active to passive investing, and its world-class
reputation in the energy infrastructure end-market.”
At closing, John L. Jacobs will join the Board of Directors of
Alerian as its Chairman. Mr. Jacobs formerly served as Executive
Vice President of Nasdaq, where he was responsible for all aspects
of Nasdaq’s Global Information Services (GIS) business including
indexes and data. Mr. Jacobs is a veteran in the index and ETF
ecosystem, including the launch of the Nasdaq-100 Index Tracking
Stock (QQQ), one of the most successful financial products in stock
market history.
Mr. Jacobs commented, “I am excited to be joining the Alerian
Board at this dynamic time in its history. Alerian is one of the
premier and most respected brands in the financial services
industry and I look forward to working with Kenny Feng and the
Aretex team to strengthen Alerian’s partnerships, add product
licensees, launch new products, and develop new sources of
revenue.”
Aretex Capital Partners was founded by its Managing Partners,
Sergio D’Angelo and Andrew Feller. The Alerian transaction will be
the initial investment by Aretex Capital Partners Fund.
Mr. Feller said, “Alerian is a strong, growing business with
exceptional leadership and significant potential to expand its
platform globally. We are excited to partner with Kenny Feng and
John Jacobs as we pursue the next chapter in Alerian’s growth.
Alerian is representative of Aretex’s strategy of pursuing
proprietary opportunities, partnering with proven management teams,
and emphasizing global growth and business building in order to
create long-term value.”
The transaction is expected to close in the second quarter of
2018, subject to receipt of required regulatory approvals and other
customary closing conditions. Barclays is acting as financial
advisor to Aretex on the acquisition of Alerian. Ropes & Gray
LLP and Sheppard Mullin Richter & Hampton LLP are acting as
legal counsel to Aretex on the transaction.
About Alerian
Alerian equips investors to make informed decisions about Master
Limited Partnerships (MLPs) and energy infrastructure. Its
benchmarks, including the flagship Alerian MLP Index (AMZ), are
widely used by industry executives, investment professionals,
research analysts, and national media to analyze relative
performance. As of April 30, 2018, over $14 billion was directly
tied to the Alerian Index Series through exchange-traded funds and
notes, separately managed accounts, and structured products. For
more information, including index values and constituents, research
content, and announcements regarding rebalancing, please visit
http://www.alerian.com/.
About Aretex Capital Partners
Aretex Capital Partners is a global private equity firm focused
on investments primarily in North America and Europe. Aretex
partners with entrepreneurs and management teams with a proven
track record of success and seeks to create value by helping
businesses access international markets and drive sustainable
growth. Launched in 2018 by Sergio D’Angelo and Andrew Feller,
Aretex maintains offices in New York and London.
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