TMF Group funded the acquisition from existing resources. The financial terms of the transaction have not been disclosed. All senior GMG management and client relationships will remain with the business post completion of the acquisition, which is expected by the end of November 2014.
Established in 2003 by founder and managing director, John Doidge, GMG has built a leading market share in the provision of trustee services to the banking and structured finance industries in South Africa, employing 25 people in offices in Johannesburg and Cape Town.
The acquisition will immediately position TMF Group as one of the largest providers of fiduciary services within South Africa, complementing its existing services within the country, as well as providing significant cross selling opportunities of other services to the GMG client base. In addition, this deal provides the company with a sizeable platform from which to accelerate its growth strategy across Africa.
"We are proud of the acquisition of GMG in South Africa as this will provide TMF Group with the platform to expand its structured finance and capital markets services to the African continent. This deal also positions TMF Group amongst the largest independent trust and corporate fiduciary services providers in South Africa," Robert Jan Schol, global head of Structured Finance Services at TMF Group, commented.
"This is a great opportunity for both companies and it will give TMF Group an even wider international network and footprint. We are very much looking forward to working closely with our new colleagues and are keen to explore the many opportunities we now have together," Huub Mourits, global director of Business Development (Structured Finance Services) at TMF Group, added.
"We are delighted to be part of the global network of TMF Group. The cultures of the two organisations are a great fit and we look forward to participating in a greater pool of skills and services to the benefit of clients and staff," Doidge commented.
