March 15, 2023

Barings to Acquire Gryphon Capital Investments

Barings, one of the world’s leading investment managers, today announced that it has entered into a definitive agreement to acquire 100% of Gryphon Capital Partners Pty Ltd, the parent company of wholly-owned Gryphon Capital Investments Pty Ltd (“Gryphon”), which serves as the investment manager of Gryphon Capital Income Trust (ASX:GCI). The transaction will enable Gryphon to scale its investment strategy through Barings’ global platform, while expanding Barings’ global structured finance solutions in the Asia Pacific region (APAC) and accelerating Barings’ entry into the Australian wealth market.

Transaction highlights

  • Gryphon’s A$2.6 billion in AUM to combine with Barings Global Structured Finance’s US$8.2 billion in AUM
  • Gryphon team to join Barings Global Structured Finance team
  • Steven Fleming and Ashley Burtenshaw will continue as portfolio managers for GCI with no change in personnel
  • Barings to support Gryphon’s long-term, growth strategy


Steven Fleming, Gryphon’s Co-founder and Portfolio Manager, said; “We are excited to have found a partner in Barings and believe there is strong alignment in our respective culture and investment philosophies. Our clients will benefit from Barings global investment capabilities together with the operational and business support from one of the world’s leading asset managers. The transaction is expected to bolster Gryphon’s access to capital and strengthen its ability to deliver its long-term growth strategy.”

Mike Freno, Barings’ Chairman and CEO, said, “Barings looks forward to partnering with Steve, Ashley and the team at Gryphon to expand our on-the-ground presence in Australia and our access to the origination opportunities and investment solutions that meet the evolving needs of our clients. This transaction will also create a springboard for us to grow our structured finance capabilities in APAC and bring a range of Barings’ investment solutions to the Australian wealth market.”

William Awad, Barings’ Head of Global Structured Finance, said, “We see a significant opportunity to expand our platform in Australia, a strategic market with strong macroeconomic fundamentals and with growing opportunities across the residential, consumer, and commercial asset finance markets for structured capital solutions that will benefit our investors. We share in Gryphon’s long-term relationship approach and are excited to work together to build on the team’s success in the region.”

The transaction is expected to close on 31st March 2023, subject to various conditions, and follows Barings’ August 2022 acquisition of Altis Property Partners, a real estate firm based in Australia.

Contacts:
Vivian Shiu
vivian.shiu@barings.com

About Gryphon
Founded in 2014, Gryphon Capital Investments is an Australian, independently-owned, investment manager focused on the structured finance, fixed income market in Australia. Gryphon manages individual segregated accounts on behalf of institutional investors, as well as this ASX listed Trust. Gryphon has a highly experienced and active investment management team with proven track record.

About Barings
Barings is a $347+ billion* global investment manager sourcing differentiated opportunities and building long-term portfolios across public and private fixed income, real estate, and specialist equity markets. With investment professionals based in North America, Europe and Asia Pacific, the firm, a subsidiary of MassMutual, aims to serve its clients, communities and employees, and is committed to sustainable practices and responsible investment.

*Assets under management as of 31 December, 2022

Important Information

The document is for informational purposes only and is not an offer or solicitation for the purchase or sale of any financial instrument or service in any jurisdiction. The material herein was prepared without any consideration of the investment objectives, financial situation or particular needs of anyone who may receive it. This document is not, and must not be treated as, investment advice, an investment recommendation, investment research, or a recommendation about the suitability or appropriateness of any security, commodity, investment, or particular investment strategy, and must not be construed as a projection or prediction.

In making an investment decision, prospective investors must rely on their own examination of the merits and risks involved and before making any investment decision, it is recommended that prospective investors seek independent investment, legal, tax, accounting or other professional advice as appropriate.

Unless otherwise mentioned, the views contained in this document are those of Barings. These views are made in good faith in relation to the facts known at the time of preparation and are subject to change without notice. Individual portfolio management teams may hold different views than the views expressed herein and may make different investment decisions for different clients. Parts of this document may be based on information received from sources we believe to be reliable. Although every effort is taken to ensure that the information contained in this document is accurate, Barings makes no representation or warranty, express or implied, regarding the accuracy, completeness or adequacy of the information.

This document is issued in Australia by Barings Australia Pty Ltd.