Emerging and frontier markets specialist East Capital Group has acquired a 10% stake in London-based ESG and impact manager Alquity, which has also secured financial backing from the co-founder of Aberdeen Asset Management, Martin Gilbert.
Alquity, which was launched in 2010 by Paul Robinson, manages a number of ESG & impact emerging market funds. Robinson told RI that the new capital raise will help it launch its first global equity impact fund in the coming weeks. Across its whole business, Alquity is targeting more than $3bn in assets under management by 2026. It currently manages $125m.
The firm has raised £3m in share capital, said Robinson, from East Capital group, co-founder of Aberdeen Asset Management (now Standard Life Aberdeen) Martin Gilbert and Australia-based seed investor Investible. East Capital Group took a 10% stake in Alquity. Other terms of the deal were not disclosed.
Alquity is targeting more than $3bn in assets under management by 2026. It currently manages $125m.
Gilbert, who was Chairman of Standard Life Aberdeen until last year, said: “I have known the Alquity team for many years – they are tried and tested. There’s no doubt their expertise on the connection between listed equities, high quality ESG and impact is going to become even more significant over the next ten years – for investors and for the industry.”
Alquity CEO Brad Crombie, who was Head of Global Fixed Income at Aberdeen Asset Management until 2018, said: “What is critical for our business is the bridge between listed equities and impact……we want to start scaling billions of dollars of listed investments towards impact. This will bring benefits to companies and communities, to our clients and to our shareholders.”
Alquity puts 10% of its revenues into its Transforming Lives Foundation, which has impacted over 60,000 people by granting more than $2m in the regions where the company invests.