The challenge
JTC is a leading independent provider of private wealth, corporate, employee benefit and fund administration services. In 2012, JTC selected us as an investor to partner with management to develop JTC’s platform and to pursue a global growth strategy. We took a significant minority ownership position, with the balance of the equity being held by management and employees.
The strategy
To enable JTC to achieve its goals, we pursued a strategy which combined well planned organic expansion with acquisitive growth. During the period of our investment, ten successful and complementary acquisitions were completed, significantly increasing the scale of JTC’s operations and diversifying its revenue and client base. Exposure to higher growth end markets was further increased with new offices opened in Brazil, Argentina, Miami and New Zealand.
Simultaneously, to enhance the quality and efficiency of the service proposition and to ensure the business was well placed to continue to support its growing client base, significant investment was made in JTC’s platform, systems and technology. The improvements made to JTC’s operational infrastructure will ensure that JTC is well placed to continue to deliver excellent service to its clients and will support the business as it pursues further growth.
Our strategy led to ten successful acquisitions, along with improvements throughout the business to ensure it would stand the test of time throughout their development. These ranged from a new headquarters in Jersey, to system updates that helped make their service more efficient.
The result
Our partnership saw JTC successfully transition from a Channel Islands focused administrator to a global service provider with a diverse, multi-jurisdictional platform and broad client reach.
While still headquartered in Jersey, by the time of our exit, JTC employed over 550 people globally and operated in 17 different jurisdictions including Europe, Africa, the USA, the Caribbean and across Asia-Pacific. The Group had in excess of 4,800 clients including alternative asset managers, financial institutions, corporates, family offices and UHNWIs. From 2012 to December 2017, revenues increased almost threefold to £59.8m and Assets Under Administration increased from $2bn to $85bn. Our partnership successfully concluded with the completion of JTC’s IPO on the London Stock Exchange’s main market in March 2018 at an Enterprise Value of £338m. We realised the investment in full, generating a return of 4.4x invested capital.
