U.S. asset manager Nuveen will acquire British fund manager Schroders for $13.5 billion, marking one of Europe’s largest asset management transactions.
The deal ends Schroders’ 222-year independence, as its founding family sells its entire 42% stake in the company.
The acquisition values Schroders at 612 pence per share, a 34% premium, sending shares up 29% in morning trading.
The combined group will oversee approximately $2.5 trillion in assets under management, strengthening its global footprint.
Schroders evolved from financing 19th-century trade into Britain’s largest standalone asset manager, though shares have fallen 30% over five years.
Analysts say mid-sized European managers face consolidation pressure from larger, cash-rich U.S. rivals seeking scale and efficiencies.
Despite the merger, the new entity will remain smaller than industry giants BlackRock, Vanguard and State Street, and slightly below Amundi.
Schroders CEO Richard Oldfield will continue leading the firm post-acquisition, with London remaining its primary office.
