Samena Capital has acquired a significant equity stake in London-based Kleinwort Benson Bank to create a new type of partner to high net worth individuals and entrepreneurs.
Kleinwort Benson, a leading merchant bank with principal activities in private banking, asset management and financial markets and corporate advisory, has announced the sale of a significant equity stake in its London-based private banking and corporate advisory subsidiary Kleinwort Benson Bank to Samena Capital, the premier investment group focused on principal investments in the Subcontinent, Asia, Middle East and North Africa (collectively known as the SAMENA region).
The transaction brings together an unparalleled group of high net worth, entrepreneurial shareholders from Europe and across the SAMENA markets with a view to advancing their shared desire for a return to relationship-driven banking and access to differentiated investment opportunities.
Founded over 200 years ago and headquartered in London, Kleinwort Benson Bank is one of the most prestigious and successful names in merchant banking, providing private wealth, banking, fiduciary and corporate advisory services. KBBL ended 2014 with £3.4 billion in assets under management. It holds a full UK banking licence and has been evolving rapidly to capture the opportunities presented by fragmentation of the global economy, technological advances and dislocation in the universal banking model as well as seeking to bring proprietary investment opportunities to its significant private banking client base.
Samena is ideally placed to drive that pipeline of investment opportunities from across the SAMENA region with its group of shareholder-entrepreneurs who are actively involved in originating investment ideas and supporting portfolio companies across a USD 750 million portfolio. Meanwhile, the investment in KBBL creates a complementary third pillar for Samena alongside its established private equity and credit businesses and presents the opportunity to expand its shareholder group and distribution channels given the high-profile European and Asian shareholders of Kleinwort Benson.
The transaction is expected to close by the third quarter of 2015, subject to closing conditions, including regulatory approval. Following the closing, the shareholders also intend to establish a new global merchant banking operation under KBBL in Dubai to offer advisory services for corporate activity in the region.
Commenting on the acquisition, Shirish Saraf, Founder and Vice Chairman of Samena Capital said, “Samena can help to underpin the solid recent progress made by Kleinwort Benson and build out a global operation with a strong focus on the emerging markets. We bring unique client and shareholder networks and access to distinctive investment opportunities from entrepreneurs, business groups and sovereigns across Asia and the Middle East. We are excited to be partners in Kleinwort Benson and look forward to growing the business together.”