US-based General Atlantic has entered into an agreement to buy UK-based Actis, the two private equity firms said Tuesday.
The two firms didn't disclose financial terms of the deal but said the combined firm will create a global investment platform with about $96 billion in assets under management.
The transaction signals the growing consolidation in the PE industry as it comes just days after BlackRock, the world's largest asset manager, agreed to acquire US-based private equity investor Global Infrastructure Partners (GIP).
Under the terms of the agreement, Actis will become the sustainable infrastructure arm within General Atlantic’s global investment platform. Actis will continue to be led by its Chairman and Senior Partner, Torbjorn Caesar, and its funds will operate under the existing Actis brand.
“Addressing the global paradigm shift toward sustainability requires an economic transformation and a capital investment on a massive scale. With the addition of Actis, we are taking a significant step forward to add a sustainable investment capability which positions General Atlantic to capture this opportunity set for our investors,” said Bill Ford, Chairman and Chief Executive Officer of General Atlantic.
General Atlantic, a growth-stage investor, was founded in 1980 and has deployed more than $60 billion worldwide. In addition to its flagship growth equity strategy, the firm’s investing activities span credit and climate solutions.
Actis has about $12.5 billion in AUM and more than 140 investment professionals across its 17 global offices. It has raised over $25 billion in capital since inception, and invests in critical infrastructure across the energy transition, digital transition, and supply chain transformation.
Both General Atlantic and Actis actively invest in India. General Atlantic was one of the top PE investors in India last year, having invested in companies such as digital payments firm PhonePe and traveltech platform TBO Tek.
Actis had a quiet 2023 in India but stitched at least four transactions in India during 2022 across the real estate, renewable energy and highways sectors. These included a warehousing joint venture with Mahindra Lifespaces, acquiring Rx Propellant, and buying six highway assets from Welspun Group.
In India's renewable energy sector, Actis floated and sold two big platforms—Sprng Energy and Ostro Energy. It now owns BluPine Energy, its third green energy platform in India.