Abrdn has opted to maintain secrecy regarding the financial terms surrounding the acquisition of this specialized healthcare investment adviser, keeping the financial world on the edge of their seats.
Visionary Leadership Paves the Way
Stephen Bird, the visionary Chief Executive of Abrdn, envisions this purchase as a key catalyst to elevate the company’s presence in the biotech sector. Bird believes that an aging U.S. population and the escalating prevalence of obesity, diabetes, and cancer in the country are like the winds that will propel their ship into the boundless ocean of opportunity.
“As the world adapts to an environment where we are all living longer, there is a huge demand for capital in these sectors — matched with a demand from investors to support a clear global mega-trend,” Bird said.
Abrdn £2.6B Health Care Fund : An Ocean of Opportunity
The numbers corroborate Bird’s vision, as U.S. personal healthcare spending surged at an average annual rate of 4.8% between 2014 and 2020, according to data from the U.S. health agency, the Centers for Medicare & Medicaid Services.
Abrdn £2.6B Health Care Fund : A Tactical Integration
In an ingenious tactical move, Tekla’s entire investment team will join the ranks of Abrdn, bolstering the firm’s position as a dominant player in the fields of health and biotechnology.
The Four Precious Gems
The treasure chest of health care investment opportunities now includes four illustrious closed-end funds, each harnessing the power of collective investor funds to unleash their potential in the market. The dazzling quartet listed on the NYSE are: Tekla Healthcare Investors, Tekla Life Sciences Investors, Tekla Healthcare Opportunities Fund, and Tekla World Healthcare Fund.
World’s Third-Largest Closed-End Fund Manager
With assets worth a staggering £23.8 billion under management in closed-end funds listed on U.S. and U.K. exchanges as of July, Abrdn has cemented its place as the world’s third-largest manager of closed-end funds, propelling them into a league of their own.
Abrdn £2.6B Health Care Fund : Share Prices Soar
The stock market was set ablaze as shares in Abrdn experienced a meteoric rise, with each share worth 156.4 pence on Monday morning, adding a tantalizing 1.4% to the company’s closing price of 154.2 pence on Friday.
Mysterious Silence from Tekla
While the financial world buzzes with excitement, Tekla has chosen to remain shrouded in silence, declining to offer any comments on this colossal deal.
The Bigger Picture
This unprecedented acquisition follows closely on the heels of asset manager Patria Investments Ltd.’s announcement earlier this October, confirming the agreement to acquire Abrdn’s European private equity business for a staggering £100 million.
