Acquisition of 80% Equity Shareholding in Radix Pension Managers LimitedCase type: MRR Form 2 (Simplified Procedure) Case Parties: CardinalStone Partners Limited/Radix Pension Managers Limited/MBO Capital Management Limited Published: 06 Dec. 2023
The Proposed Transaction for which the approval of the Federal Competition and Consumer Protection Commission is being sought is the acquisition of 80% equity stake in Radix Pension Managers Limited (Radix Pension or the Company) by CardinalStone Partners Limited (CardinalStone). The Parties to the Transaction are: - (a) The Seller MBO Capital Management Limited (b) The Acquirer CardinalStone Partners Limited (c) The Target Radix Pension Managers Limited CardinalStone Partners Limited is an independent, full-service investment banking and asset management firm offering various financial services to a diverse institutional, high net worth and retail clientele base. The key promoters of CardinalStone are a team of tested investment professionals with a proven track record of visionary leadership in building and governing successful businesses, combined with expert knowledge spanning asset management, financial advisory, capital markets, securities trading, management consulting and operations management. Radix Pension Managers Limited is a licensed Pension Fund Administrator (PFA) under the Pension Reform Act, 2014 (as amended) and regulated by the National Pension Commission. Radix Pension is committed to providing its clients with innovative and comprehensive pension solutions that help them achieve a secure and comfortable retirement. Radix Pension (known as IGI Pension Managers until 2017) was founded in 2007. Radix Pension offers a wide range of pension products and services to meet the needs of its diverse client base. These products and services include: Contributory Pension Schemes, Voluntary Contributory Pension Schemes, and Retirement Savings Accounts, amongst others. The objective of the investment is to unlock the enormous potential of Radix Pension to become a top-tier pension fund administrator in Nigeria. To unlock this potential, CardinalStone intends to leverage its deep experience in financial services to improve the efficiency of Radixs operations, materially grow its Assets Under Management and enhance overall customer experience. In addition, CardinalStone is dedicated to investing in the professional development of Radix's staff, which is believed to be instrumental to building a sustainable and successful pension institution. With their expertise and unwavering commitment, CardinalStone expresses utmost confidence in achieving its vision of positioning Radix as a leading player in the Nigerian pension market. The Transaction will lead to a change in control of Radix Pension through the acquisition of majority stake (80%) by CardinalStone. However, there will be no change in the operation of Radix Pensions as CardinalStone seeks to continue the business operations of the Company as a Pension Fund Administrator. The Acquisition is expected to boost the morale of staff and management of the Company as CardinalStone is committed to improving the business and general well-being of its management and employees. Any changes in management or employee structure will be based on a strategic assessment and geared towards the achievement of the goals and objectives of the Company. CardinalStone expects over time to identify experienced candidates to further strengthen the management team where required.