Calastone acquired by The Carlyle Group
Global funds network Calastone has been acquired by US investment firm The Carlyle Group for an undisclosed sum.
Carlyle would acquire a majority stake in the business from its current shareholders, which included Octopus Ventures and Accel, while Calastone would retain a minority stake.
US firm Carlyle was a global alternative asset manager with US$195 billion ($273.8 billion) in assets under management.
Funds affiliated with Carlyle would support Calastone in accelerating its growth, including broadening its market-leading product suite as well as the applications of its technology, and international expansion.
Since launch in 2007, Calastone had brought together the entire fund trading process and offered order routing, settlement, dividend and transfer services to asset and fund managers.
It had also scaled and diversified its strategy away from purely mutual funds to offer automated fund services to money market funds as well.
Calastone chief executive, Julien Hammerson, said: “Our business has grown from strength to strength and has created the distributed market infrastructure (DMI), a hugely innovative and market leading DLT based platform to drive yet more efficiency. At the same time, we have continued to expand internationally and created new opportunities in money market funds.
“Everyone at Calastone has much to be proud of and there is huge potential for growth based on the technology platform and unique service offering we have created. We are delighted to have the full support of The Carlyle Group to capitalise on this opportunity and take the company forward into the next phase of its development and growth.”
Fernando Chueca, a managing director in The Carlyle Group’s advisory team, said: “Calastone is a global leader and innovator in the funds technology industry, a large and growing market. Since its inception, the company has achieved remarkable growth through replacing legacy and complex workflows with truly innovative solutions for its clients.
“We are delighted to partner with Julien and the management team and look forward to leveraging our global platform, network of relationships, and deep expertise in financial services and technology to support Calastone in its next phase of growth.”
AUTHOR
Laura Dew
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