JTC has announced its acquisition of US-based fund administration services provider NES Financial (NESF).
JTC says the deal, which is subject to relevant regulatory approvals, will help it develop its Institutional Client Services (ICS) business in the US and to acquire and develop technology capabilities that will drive growth and efficiency.
Founded in 2005, NESF has 58 employees, all of whom will join JTC, delivering services from Boston, Massachusetts, where its fund administration operation is based, and San Jose, California, the company’s corporate headquarters and technology development centre.
NESF provides fund administration, treasury and related services to a broad client base including private equity, real estate and debt funds.
It has also established itself as a provider of full-service fund administration solutions in the niche US markets of 1031 exchange funds (real-estate linked capital gains deferral programmes), EB-5 funds (US investor visa programmes) and Qualified Opportunity Zone funds (US domestic economic development programmes).
As well as becoming the platform for JTC’s presence in the US fund administration market, the acquisition brings important technology capabilities to the group.
Nigel Le Quesne (pictured), CEO of JTC, said: “The US is a key growth market for the group and NESF is the perfect partner and platform to drive the strategic expansion of our ICS Division and US fund administration business.
"We have been in dialogue with the NESF team for around a year as a potential partner and provider of technology services and we are delighted to welcome them to the group.”
Michael Halloran, Founder, Chairman and CEO of NESF, will become JTC’s Global Head of Technology Strategy and join the JTC Group Holdings Board, the senior executive Board of the Company.