Nuveen acquires renewable energy specialist Glennmont Partners
Nuveen, a global investment manager with over USD1 trillion of assets under management, is to acquire Glennmont Partners, one of Europe’s largest renewable energy fund managers, to meet increasing global demand for environmentally responsible investments that also aim to provide alternative sources of attractive returns.
The acquisition will enhance Nuveen’s existing private infrastructure platform, which manages almost USD3.7 billion across renewable energy, digital, telecoms, transportation and social infrastructure sectors globally and has delivered consistent investment performance for more than 10 years for the firm and its parent, TIAA.
“Glennmont has a proven track record of investment excellence in one of the most dynamic and fastest growing infrastructure sectors,” says Nuveen CEO Jose Minaya. “The Glennmont team also shares our values and our unwavering commitment to helping investors meet their long-term goals.”
Glennmont is singularly focused on clean energy infrastructure. Since its founding in 2008 by Joost Bergsma, Francesco Cacciabue, Peter Dickson and Scott Lawrence, the firm has provided attractive, risk-managed returns to a range of global institutions including pension funds, insurers, banks and wealth and asset managers across Europe. In 2019, Glennmont successfully raised over $1 billion for its third private fund, the largest amount ever raised for a dedicated European-focused clean energy fund at the time. Environmental, Social and Corporate Governance (ESG) considerations are fundamental to Glenmont’s investment process, further aligning it with Nuveen’s 50-year heritage of responsible investing.
“My co-founders and I are delighted to be entering into this agreement with Nuveen, where we can continue our growth and deliver strong performance for investors from assets across new geographies in the US and Asia, while maintaining our focus on investments in Europe, which remains a key market for us,” says Joost Bergsma, Managing Partner and CEO of Glennmont Partners. “This acquisition will also enable Glennmont to better support the global decarbonisation agenda and help lead the clean energy transition.”
The transaction is expected to close during the first quarter of 2021, subject to regulatory approval and other customary closing conditions, and will see Nuveen take a 100 per cent stake in Glennmont.
Glennmont will be Nuveen’s investment centre for clean energy infrastructure and will be integrated within Nuveen’s Real Assets platform, which also serves TIAA, while retaining its independent and proven investment process.
The acquisition aims to accelerate Glennmont’s growth in 2021 with a suite of new products backed by seed capital from Nuveen and TIAA that will target investment opportunities in European, US and Asian markets across the equity and credit space. The acquisition takes Nuveen’s private real assets AUM to over USD150 billion, further diversifying the platform offering, which includes real estate, farmland, infrastructure, timberland, agribusiness, and commodities. The platform is grounded by a long-term and sustainable investment philosophy that seeks to offer investors access to alpha-driven strategies that are deployed through a responsible investing lens.
Nuveen collectively serves approximately 400 institutional clients in the EMEA region across a wide range of investors including pension funds, insurance companies, sovereign wealth funds, banks and family offices. The firm offers a wide range of separate accounts, commingled fund and UCITS strategies to investors across a wide range of liquid and illiquid alternative strategies, including traditional equities and fixed income and private capital as well as real estate and real assets.