Information on MCH Investment Strategies

MCH Investment Strategies, established in 2008, is an independent firm specializing in selecting premier international asset management companies and structuring alternative investment funds for distribution to institutional and family office investors in Spain, Italy, and Portugal. The firm currently boasts over €3 billion in assets under management (AuM) and has cultivated partnerships with renowned global asset managers.

The organization was founded by Tasio del Castaño and Alejandro Sarrate, with the support of partners from MCH Private Equity, who held a minority stake in the firm until their recent exit. Despite this change in ownership, MCH Investment Strategies will retain its autonomous operational structure.

Industry Overview in Spain

The asset management industry in Spain has undergone significant transformation over the past decade, marked by a growing demand for alternative investments. Spanish investors are increasingly seeking diversified portfolios that include private equity, real estate, and private debt to enhance returns and mitigate risks associated with traditional asset classes.

Regulatory changes and advancements in technology have further facilitated the growth of the asset management sector, creating an environment conducive to the emergence of innovative investment firms. The need for personalized and adaptive financial services has been amplified by the evolving investment landscape, compelling firms to adopt a more client-centric approach.

Additionally, Spanish investors are becoming more sophisticated, leading to heightened interest in direct investments and unique asset strategies. This trend aligns with a broader European movement towards alternative assets, where firms that can offer specialized expertise and unique products are being favored.

As the Spanish asset management industry continues to evolve, competition among firms is intensifying, driving innovations in service delivery and product development. Players who can effectively adapt to changing market conditions, while maintaining quality standards and investor trust, are well-positioned for sustainable growth.

The Rationale Behind the Deal

The partnership between Alantra and MCH Investment Strategies aims to accelerate MCH's growth trajectory and enhance its market presence throughout Europe. By acquiring a 40% stake, Alantra will provide MCH with strategic support and access to a broader network of institutional investors, thereby facilitating expansion and diversification of the product offering.

This collaboration is intended to empower MCH Investment Strategies to explore new alternative asset management opportunities and solidify its standing as a premier player in the European fund selection, structuring, and distribution landscape.

Information about Alantra

Alantra is a prominent global investment firm specializing in alternative asset management, investment banking, and credit portfolio advisory. With a focus on mid-market segments, the firm provides tailored high-value services to companies, families, and investors worldwide. Alantra employs over 540 professionals across key regions, including Europe, the US, Latin America, and Asia.

In the sphere of alternative asset management, Alantra offers a diverse range of investment strategies encompassing direct investments, fund of funds, co-investments, and secondary market engagements. As of December 31, 2020, the firm had approximately €2.6 billion in direct investments and had raised €11.7 billion since its inception in various funds.

View of Dealert

This strategic partnership between Alantra and MCH Investment Strategies presents a promising investment opportunity. Alantra's established presence and expertise in various investment strategies could significantly enhance MCH's capabilities and accelerate its growth in the coming years. The combination of MCH’s solid management team and unique service offerings positions it well to capitalize on the rising demand for alternative assets among European investors.

Furthermore, Alantra’s involvement is likely to access new funding sources and increase brand visibility within the competitive landscape. By aligning with a credible partner, MCH can leverage Alantra’s extensive network to attract institutional and retail investors, thus broadening its market reach.

Although the exit of MCH Private Equity highlights a shift in the ownership structure, the continuity of MCH Investment Strategies as an independent entity ensures its operational integrity. This stability is crucial for maintaining investor confidence and promoting long-term growth.

Overall, the partnership is poised to benefit both firms significantly, provided they effectively integrate their strategies and capabilities. Maintaining the focus on high-quality service delivery will be essential as they navigate this new phase of growth.

View Original Article