Genstar Capital is buying two private equity fund administrators, Apex Fund and Equinoxe Alternative Investment Services, and combining them into one company. The transactions, which are for undisclosed amounts, come, as more private equity firms begun turning to third-party administrators, in part to provide more transparency to limited partners. As regulations become increasingly complex, more firms are gravitating to TPAs.
Apex Fund Services provides back office, middle office, regulatory reporting, and other administrative services to asset managers across all asset classes. The company, based in Bermuda, was founded in 2003 by Peter Hughes. With the addition of Equinoxe, the newly combined company will administer nearly $80 billion in assets and will expand its middle office support services. Hughes will continue to lead the merged company as CEO and will also retain an equity stake in the business.