American alternative asset manager Blackstone is set to enhance its footprint in Germany by opening a new office in Frankfurt. 

To be situated in the OMNITURM in Frankfurt’s financial district, the proposed flagship branch will act as a centre for the firm in Germany. 

The Frankfurt office will accommodate professionals from Blackstone’s private equity, real estate, and credit operations. 

It will also support the company’s private wealth solutions business that caters to investment professionals and individual investors throughout Europe. 

The new office’s private equity and credit teams will be led by Blackstone’s senior managing directors Juergen Pinker and Jurij Puth, respectively. 

The firm’s portfolio companies in Germany currently employ a workforce of over 7,000 people.

Apoll performed by IQ-EQ, an investor services company, revealed that worries about “greenwashing” are preventing ESG investing. 

ESG’s service assists clients in remaining compliant, managing their ESG data, and meeting ESG objectives by handling all administrative, data, and reporting obligations throughout the fund’s lifecycle. 

Fear of greenwashing, according to nearly two-thirds of respondents, is the most significant hurdle preventing investment firms from implementing sustainability into their investing strategy or marketing their sustainable credentials. 

Although different organisations describe different requirements, the lack of clear, standardised ESG criteria is a source of concern. 

The EU’s Sustainable Financial Disclosure Regulation (SFDR) has yet to reach its full potential, with gaps in understanding and compliance that ESMA is working hard to close. 

There is a clear shift from “tell me” to “show me” as sustainable finance regulation becomes more stringent and concerns about greenwashing increase. Managers are under increased pressure to back up the claims they make in their marketing materials and to show how ESG is integrated into the fund’s overall lifecycle. 

Even the most effective investment firms are struggling to clear the regulatory hurdles required to demonstrate their impact, especially when emerging markets and SME portfolio companies are involved, which lack the necessary regulatory expertise, internal procedures, and, most importantly, data to meet the reporting requirements. 

Investors are becoming more sceptical, and successful investment businesses are struggling to surmount the regulatory hurdles required to demonstrate their impact.

Investment manager First Sentier Investors (FSI) has signed a strategic deal to buy a majority stake in Albacore Capital Group, a UK-based credit manager. 

Established in 2016, AlbaCore is said to manages more than $9.5bn in assets across liquid strategies, structured products, dislocation funds, among others. 

The firm, which also has an office in Dublin, primarily caters to the public and private pension funds as well as sovereign wealth funds, insurance, high net worth clients and others. 

Following completion of the latest deal, AlbaCore’s senior team continue to hold a minority ownership stake in the firm and will make investment in the company for a long-term. 

AlbaCore will also retain its investment and business autonomy. Its existing teams, office locations or brand will continue to operate as before. 

In addition, FSI will help AlbaCore to improve its distribution and capital raising competences across Asia-Pacific, North America as well as the Europe, the Middle East and Africa (EMEA) region. 

The deal helps FSI to deliver new asset classes and structures to its clients, enhance its global presence, diversifying its investment capabilities, among others. 

It is anticipated to be completed by third quarter of this year after receiving regulatory approvals.

Saudi National Bank (SNB) has suffered a loss of nearly 80% on its investment in Credit Suisse after the embattled Swiss bank was acquired by UBS, reported CNBC. 

The bank, which is the largest shareholder in Credit Suisse, currently holds a 9.9% stake in the bank. 

In November last year, SNB invested CHF1.4bn ($1.5bn) in Credit Suisse to buy the bank’s stock at CHF3.82 per share. 

However, after agreeing to buy Credit Suisse, UBS is offering Credit Suisse shareholders CHF0.76 for each share. 

This deep reduction is aimed at bolstering the global banking system by the regulators amid the collapse of Silicon Valley Bank and downfall of First Republic Bank shares, added the publication. 

Even after facing losses, SNB says that it will continue to implement its current broader strategy.

M&A activity in the Gulf region has been a notable exception to the general trend of a slowdown in worldwide M&A deal activity. 

PwC Middle East published its 2023 TransAct Middle East report, titled “Gulf exceptionalism creates M&A opportunities despite global headwinds,” which provides insights on Merger & Acquisition (M&A) and Capital market activity across the Middle East region in 2022, as well as trends that may impact M&A activity in the future. 

According to the report, M&A activity in the region has been noticeable in contrast to the general trend of a drop in global M&A deal activity. 

It has effectively maintained an amazing upward trajectory in 2022, with a succession of $1bn plus transactions across various industries. 

This is attributable to “Gulf exceptionalism,” which results from favourable regional dynamics including rising oil prices and improved fiscal restraint, which helped the region experience better economic flexibility and relatively faster growth. 

In addition, the UAE, Saudi Arabia, and Egypt accounted for 563 transactions, or 89 percent of the total deal volume in the Middle East in 2022, and were the main centres of M&A activity in those countries.