Specialty fund administrator NES Financial announced today that it has entered into a definitive acquisition agreement with JTC PLC (LON: JTC), a global provider of fund, corporate and private wealth services to institutional and private clients.
Together, JTC and NES Financial form a global powerhouse comprised of a multi-jurisdictional platform – servicing over $130 billion in assets – and over 900 employees in 19 countries.
As a JTC Group company, NES Financial will continue to operate under its current brand in the U.S. market, having long been recognized as an industry-leading provider of fund administration for Opportunity Zones, the immigrant investor EB-5 program, and private equity – as well as 1031 tax-deferred exchange services for private equity, commercial real estate and corporate clients.
“The transaction with JTC places NES Financial’s technology-driven, purpose-built solutions in the context of a platform with global reach and sophistication,” said Michael Halloran, chairman and CEO of NES Financial. “Combining JTC’s first-rate institutional services, NES Financial’s expertise in investment vehicles, and a global fund administration and accounting capability will deliver significant newfound value to our clients.”
“And in the midst of the COVID-19 pandemic, our services are needed more than ever,” added Halloran. “The U.S. EB-5 program has historically provided a capital lifeline in downturns. And as more people face sudden unemployment, the Opportunity Zones initiative and EB-5 investor program will continue to provide jobs to distressed communities across the country.”
“With NES Financial, the JTC Group welcomes a market leader in the segments they serve and a platform that will be the foundation for our continued expansion into the U.S. market,” said Nigel Le Quesne, CEO of JTC PLC. “At the same time, NES Financial’s proprietary eSTAC technology engine offers a strategic advantage that JTC can apply globally, for the benefit of all our clients.”
Subject to customary closing conditions and relevant regulatory approval, the deal is expected to close at the end of April. Evercore acted as exclusive financial advisor to NES Financial Corp. in connection with the transaction.
About JTC PLC
JTC PLC is an award-winning provider of fund, corporate and private client services to institutional and private clients. Founded in 1987, JTC has more than 900 people working across its global office network and is trusted to administer more than $130 billion of client assets. The principle of true shared ownership for all employees is fundamental to their culture and aligns them completely with the best interests of their clients and other stakeholders.
Through its Institutional Client Services (ICS) Division, JTC fund services administers a wide variety of listed and unlisted funds across a diverse range of asset classes, including real estate, private equity, renewables, hedge, debt and other alternatives. The firm’s corporate services business line provides company secretarial and administration services to a broad range of clients, including SMEs, public companies, multinationals and sovereign wealth funds. JTC’s private client services include the formation and administration of vehicles such as trusts, companies and partnerships on behalf of HNWIs and UHNWIs and their families and dedicated private and family offices.
About NES Financial
NES Financial is a specialty fund administrator that serves sectors characterized by high administrative complexity, increased transaction security needs, and challenging regulatory compliance requirements. The company’s purpose-built solutions streamline the administrative processes of these markets — simplifying specialized financial transactions, curtailing fraud and abuse and helping ensure the utmost in security, transparency and regulatory compliance through each step of an investment’s life cycle.
NES Financial, recognized on the San Francisco Business Times’ top Bay Area fintech list, has defined industry best practices in each of the markets it serves — from 1031 exchanges and EB-5 visa funding to private equity and the landmark Opportunity Zones program. NES Financial services more than 300 funds, administers more than $20 billion annually and has worked with more than 700 EB-5 projects. For more information, visit nesfinancial.com.