Mediobanca is to acquire a 69 per cent interest in RAM Active Investments (RAM AI), a Switzerland-based systematic investment manager.
RAM AI offers a range of actively managed and alternative systematic fundamental equity and tactical fixed-income funds to a wide array of institutional and professional investors. As of 31 October 2017, RAM AI had AuM of CHF4.9 billion across 14 funds.
RAM AI will maintain its organisational and operational independence, but the transaction will provide the firm with a reinforced institutional framework, a long-term seeding commitment to funds managed by the Company that will help foster innovation and research, and an improved distribution network across Europe.
The founding partners Thomas de Saint-Seine, Maxime Botti and Emmanuel Hauptmann will retain significant stakes in the Company and will remain committed to its development for a minimum period of ten years. Each partner will also reinvest a meaningful part of their proceeds in RAM AI’s funds. As the historical seeder and institutional shareholder of RAM AI, the REYL Group will retain a 7.5 per cent stake in the Company and will continue to operate as a preferred partner and anchor investor in the Company’s products.
The transaction is subject to customary conditions, including approval from the relevant regulatory authorities, and is expected to close in the first half of 2018.
“We are very excited by this new phase of RAM AI’s development. Mediobanca is an excellent partner for RAM AI from a cultural and distribution synergy standpoint. This partnership will provide us with additional operational resources and seeding capabilities that will help drive innovation and research at RAM AI while preserving our independence and unique culture. Our aim is to keep delivering differentiated investment solutions to our investors, generating consistent risk-adjusted returns on the foundation of proven investment philosophies” says Thomas de Saint-Seine, CEO of RAM AI.
“The 2016-19 strategic plan approved in November 2016 has marked a clear acceleration in our repositioning through the creation and development of an Asset Management platform,” says Alberto Nagel (pictured), Group CEO of Mediobanca. “As a meaningful part of this plan Mediobanca is strongly committed to the development of an alternative asset management business, achieved through strategic partnerships with selected managers having high quality management teams, strong track records, and scalable platforms.
“RAM AI is uniquely qualified to complement Mediobanca active investment management business and will become the cornerstone for the launch of the Group’s systematic strategies and innovation hub for the development of new investment ideas. In addition RAM AI will contribute scale to our alternative platform, will complement the product offering by adding equity strategies and is exceptionally well positioned to benefit from a complementary investor base, distribution network and geographical reach.”