TRANSACTION SUMMARY

On 5 August 2015, Mediobanca announced it will be acquiring a majority interest in Cairn Capital, the London-based credit asset management and advisory business.

As part of the transaction, the listed Italian banking group is acquiring a 51% interest in Cairn Capital, with the majority of the equity being acquired from the firm’s institutional shareholders, RBS and Star Capital. Mediobanca also has an option after three years to acquire the remaining equity, the majority of which is held by the management and staff.

It is intended that Cairn Capital will play a central role in the development of Mediobanca’s alternative asset management strategy, with Mediobanca providing seed capital, as well as access to its distribution channels, investor relationships and institutional infrastructure.

CAIRN CAPITAL

Cairn Capital is an independent London-based full-service credit asset management, advisory and securities restructuring firm established in 2004. Cairn Capital has in-depth exposure to credit markets due to its diverse business lines, comprehensive bottom up research, technical understanding and bespoke trading and analytical tools. Cairn Capital has a particular, but not exclusive, focus on the European credit markets As at 30 June 2015, Cairn Capital had $5.6bn of discretionary and legacy assets under management, with a further $9.1bn of assets under long term advice.

MEDIOBANCA

Mediobanca is a listed diversified banking group and Italy’s leading investment bank. Founded in 1946 to help rebuild Italy following the Second World War, Mediobanca has provided advisory services and finance to its clients for almost 70 years. Under its 2014–16 Strategic Plan, Mediobanca has refocused on its core banking activities, further expanding its investment bank into new markets in Europe and around the world.

ROLE

SHP acted as financial adviser to Cairn Capital.