Employees of Benchmark Capital are set to remain at Schroders' Horsham campus after the sale of the business, according to sources familiar with the matter. The decision ensures that the workforce will not face relocation, maintaining continuity for the firm's operations.
Sale Details and Staff Impact
Schroders, the FTSE 100 asset manager, agreed to sell Benchmark Capital to a consortium led by private equity firm Corsair Capital. The transaction, expected to close in the coming months, includes all of Benchmark's staff and operations. As part of the deal, the approximately 200 employees based at the Horsham campus will continue to work from the same location, which is owned by Schroders.
The Horsham campus, located in West Sussex, has been the headquarters for Benchmark Capital since its acquisition by Schroders in 2014. The site also houses other Schroders operations, but the sale agreement stipulates that Benchmark staff can remain on-site under a lease arrangement.
Strategic Rationale
The sale of Benchmark Capital is part of Schroders' strategy to streamline its business and focus on core asset management activities. Benchmark, which provides outsourced chief investment officer services, was deemed non-core to Schroders' long-term plans. The deal allows Schroders to free up capital and management resources while ensuring Benchmark's clients and employees experience minimal disruption.
According to a spokesperson for Schroders, 'The agreement ensures that Benchmark's staff and clients will benefit from continuity, with employees continuing to work from the Horsham campus under the new ownership.'
Future Operations
Corsair Capital, the acquiring consortium, plans to operate Benchmark as a standalone entity. The private equity firm has a track record of investing in asset and wealth management businesses, and it intends to support Benchmark's growth while preserving its culture and team. The retention of the Horsham campus is seen as a key factor in maintaining staff morale and client relationships.
The deal is subject to regulatory approvals but is expected to close by the end of the first quarter of 2024. Financial terms were not disclosed, but industry sources estimate the transaction value at around £100 million.
