Janus Henderson Acquires NBK Wealth’s Private Investment Team

The UK-based Janus Henderson has entered into a partnership with NBK Wealth, the wealth management arm of the National Bank of Kuwait Group, whereby NBK Wealth’s private investments team will join Janus Henderson as the firm’s new emerging markets private capital division.

The transaction is structured as an acquisition of NBK Capital Partners (NBKCP), a newly established entity in the Abu Dhabi Global Markets (ADGM) for advising and managing alternative investment funds, subject to regulatory approvals and other customary closing conditions.

The private investments team from NBK Wealth was established in 2006 and today is a leading alternative investments advisor across private credit and private equity strategies in emerging markets including the Middle East and North Africa.

The team has secured $1.1 billion in capital commitments to date and built an impressive 18-year history of performance and growth. They have a proven track record of success in the region, having advised on investments in 40 companies with 27 portfolio exits.

The team have a strong history of innovation and were instrumental in developing the Middle East region’s first dedicated private credit fund 15 years ago, which returned 17% gross internal rate of return and ranked among the top performing mezzanine debt funds globally in its vintage year. Their private credit strategy has attracted investment from some of the region’s largest sovereign wealth funds and consistently delivered positive returns on every investment since 2009.

Janus Henderson has a history of investing in emerging markets, showcasing capabilities in emerging market equity and, more recently, enhancing its offerings with the addition of an emerging market debt team.

As investors look across the global market for differentiated investment opportunities, emerging markets remain underpenetrated for private capital solutions and therefore presents a key strategic growth area.

The Company expects that partnering with NBK Wealth will provide Janus Henderson with the opportunity to tap into this rapidly expanding market where there is increasing appetite from both sovereigns and corporates.

In addition to enhancing its offering to its existing clients, the partnership is also expected to provide Janus Henderson with the access to engage with new clients in the Middle East, and globally, who want to actively invest in emerging markets, thereby expanding its footprint in the region.

Serving Clients Better

Janus Henderson CEO Ali Dibadj said that over their 90-year history, the company has continued to put client needs at the heart of everything they do.

He said that acquiring a private investments capability meant they can better serve clients who were increasingly seeking differentiated investments in private credit including evolving opportunities in emerging economies and positions us as pioneers in anticipating and embracing this long-term trend.

“As we continue to execute our strategic objectives – including diversifying where we have the right – to meet client needs and support the growth of our firm, we will keep exploring strategic partnerships to accomplish this,” Ali said.

NBK Wealth CEO Faisal Al-Hamad said that Janus Henderson shared NBK Wealth’s core value of placing clients first and they will look forward to embarking on this strategic partnership together. “With Janus Henderson’s deep-rooted client relationships, broad suite of investment strategies and global capabilities we are confident that this partnership will deliver positive outcomes for our clients,” he added.

At the closing of transaction, NBKCP will become the emerging markets private capital arm within Janus Henderson. NBKCP will retain its investment independence and will receive strategic support from Janus Henderson as part of the relationship across the entire platform.

NBK Capital Partners Director Yaser Moustafa will continue to lead the business and Sikander Ahmed will continue his role as Head of Middle East Private Credit, both working closely with Janus Henderson’s senior management team.

Janus Henderson plans to launch a number of emerging markets focused alternatives strategies in the second half of 2024. The NBKCP team is expected to join Janus Henderson in Q2 of 2024 subject to regulatory approvals and other customary closing conditions.