State Street Takes Minority Stake in Coller Capital
State Street Investment Management has made a strategic minority investment in Coller Capital, in a move for both firms to broaden their alternative investment options.
Through the investment, State Street IM will gain access to Coller’s private market capabilities in private equity and private credit secondaries. Additionally, the investment will provide support to Coller’s growth strategy, the firm said.
The proceeds from the transaction will be reinvested in Coller’s business, and the stake will not affect the investment process or day-to-day management of the firm, State Street said.
“Across the industry, institutional investors and the individual clients they serve need diversification and differentiated investment options, and secondaries and private markets represent an important and growing opportunity,” Yie-Hsin Hung, CEO of State Street IM, said. “This investment and strategic relationship – bringing to our clients the leading secondaries capabilities that Coller has pioneered – exemplifies our broader commitment to clients to provide innovative solutions and better outcomes.”
Financial terms of the minority investment were not disclosed.
Recently, State Street IM and Blackstone Credit & Insurance announced plans to launch an actively managed European CLO ETF, expanding their liquid credit partnership into Europe for the first time.
Under the structure, Blackstone will serve as sub-investment manager, actively managing the portfolio. State Street IM will act as ETF sponsor and investment manager, overseeing governance and distribution to a broad base of institutional clients, including asset managers, asset owners, private banks, and wealth managers.
Earlier this year, Coller Capital launched CollerCredit, a registered investment fund offering high-net-worth investors access to the private credit secondaries market. The launch comes after the firm’s Luxembourg-based Private Credit Secondaries.
London-based Coller Capital manages about $46 billion in private market secondaries, allowing investors to buy and sell stakes in existing private equity and private credit funds.