Jupiter Fund Management has agreed a deal to acquire asset manager CCLA in a deal worth £100m.

The deal remains subject to customary post-closing adjustments and will be funded entirely from Jupiter’s existing balance sheet cash resources.

CCLA is the UK’s largest asset manager focused on serving non-profit organisations and manages more than £151bn in assets under management (AuM) on behalf of charities, religious institutions and local authorities.

Jupiter said it expects the acquisition to be “materially accretive” to its management fee earnings per share from the first day, with further accretion over time as “synergies are delivered”.

The group’s initial target for run-rate cost synergies on a fully integrated basis is at least £16m a year, which it expects to be fully realised by the end of 2027.

“This acquisition helps us to increase scale in our home market of the UK, where Jupiter is already a leading player, without any disruption to our existing clients,” said Jupiter CEO, Matthew Beesley.

“It opens up a new client segment for us, broadening our appeal to a range of charitable and religious institutions, both in the UK and internationally, while also allowing us to expand our existing presence in the UK local authority sector.”

CCLA chief executive, Peter Hugh Smith, said: “We are delighted to be becoming part of Jupiter, a leading active asset manager, with strong roots in responsible investment and a shared investment culture and client-centric approach. Through this partnership, our clients will continue to receive the same market-leading client service and relentless focus on strong, sustainable investment returns.”

---