Manulife to Acquire Comvest Credit Partners, Creating a Leading Private Credit Platform
Manulife Financial Corporation (TSX: MFC) has announced the acquisition of 75% of Comvest Credit Partners for US$937.5 million in upfront consideration, with potential additional payments of up to US$337.5 million based on performance targets.
The transaction combines Manulife's US$3.7 billion Senior Credit team with Comvest's US$14.7 billion platform, creating a leading US$18.4 billion private credit asset management platform to be branded as Manulife | Comvest. The deal is expected to close in Q4 2025 and will be immediately accretive to core EPS, core ROE, and core EBITDA margin.
Robert O'Sullivan, Comvest's Co-Founder and CEO, will lead the newly aligned business, reporting to Anne Valentine Andrews, Global Head of Private Markets. The transaction will be funded with cash on hand, resulting in less than a 3-point reduction to Manulife's LICAT ratio.
Manulife Financial Corporation (TSX: MFC) ha annunciato l'acquisizione del 75% di Comvest Credit Partners per un corrispettivo iniziale di 937,5 milioni di dollari USA, con possibili pagamenti aggiuntivi fino a 337,5 milioni di dollari USA basati sul raggiungimento di obiettivi di performance.
L'operazione unisce il team Senior Credit di Manulife, con un patrimonio di 3,7 miliardi di dollari USA, alla piattaforma di Comvest da 14,7 miliardi di dollari USA, dando vita a una piattaforma leader nella gestione di asset di credito privato del valore complessivo di 18,4 miliardi di dollari USA, che sarà denominata Manulife | Comvest. La chiusura dell'accordo è prevista per il quarto trimestre del 2025 e avrà un impatto immediato positivo su EPS core, ROE core e margine EBITDA core.
Robert O'Sullivan, cofondatore e CEO di Comvest, guiderà la nuova società integrata, riportando ad Anne Valentine Andrews, responsabile globale dei mercati privati. L'operazione sarà finanziata con liquidità disponibile, comportando una riduzione inferiore a 3 punti del rapporto LICAT di Manulife.
Manulife Financial Corporation (TSX: MFC) ha anunciado la adquisición del 75% de Comvest Credit Partners por un pago inicial de 937,5 millones de dólares estadounidenses, con posibles pagos adicionales de hasta 337,5 millones de dólares estadounidenses basados en objetivos de rendimiento.
La transacción combina el equipo Senior Credit de Manulife, con 3,7 mil millones de dólares estadounidenses, con la plataforma de Comvest de 14,7 mil millones de dólares estadounidenses, creando una plataforma líder en gestión de activos de crédito privado por un total de 18,4 mil millones de dólares estadounidenses, que se denominará Manulife | Comvest. Se espera que el acuerdo se cierre en el cuarto trimestre de 2025 y tendrá un impacto inmediato positivo en el EPS core, ROE core y margen EBITDA core.
Robert O'Sullivan, cofundador y CEO de Comvest, liderará el negocio recién alineado, reportando a Anne Valentine Andrews, jefa global de mercados privados. La transacción se financiará con efectivo disponible, resultando en una reducción de menos de 3 puntos en la ratio LICAT de Manulife.
Manulife Financial Corporation (TSX: MFC)는 Comvest Credit Partners의 75% 지분을 선불로 9억 3,750만 달러에 인수한다고 발표했으며, 성과 목표에 따라 최대 3억 3,750만 달러의 추가 지급 가능성이 있습니다.
이번 거래는 Manulife의 37억 달러 규모의 Senior Credit 팀과 Comvest의 147억 달러 플랫폼을 결합하여 총 184억 달러 규모의 프라이빗 크레딧 자산 운용 플랫폼인 Manulife | Comvest를 구축합니다. 거래는 2025년 4분기에 완료될 예정이며, 핵심 주당순이익(EPS), 핵심 자기자본이익률(ROE), 핵심 EBITDA 마진에 즉각적인 긍정적 영향을 미칠 것으로 기대됩니다.
Comvest의 공동 창립자이자 CEO인 Robert O'Sullivan이 새롭게 통합된 사업을 이끌며, 글로벌 프라이빗 마켓 책임자인 Anne Valentine Andrews에게 보고합니다. 이번 거래는 보유 현금으로 자금을 조달하며, Manulife의 LICAT 비율을 3포인트 미만으로 감소시킬 것입니다.
Manulife Financial Corporation (TSX : MFC) a annoncé l'acquisition de 75% de Comvest Credit Partners pour une contrepartie initiale de 937,5 millions de dollars US, avec des paiements supplémentaires potentiels pouvant atteindre 337,5 millions de dollars US en fonction des objectifs de performance.
Cette transaction combine l'équipe Senior Credit de Manulife, dotée de 3,7 milliards de dollars US, avec la plateforme de Comvest, valorisée à 14,7 milliards de dollars US, créant ainsi une plateforme de gestion d'actifs de crédit privé leader d'une valeur totale de 18,4 milliards de dollars US, qui sera nommée Manulife | Comvest. La clôture de l'accord est prévue pour le quatrième trimestre 2025 et devrait avoir un impact immédiat positif sur le BPA de base, le ROE de base et la marge EBITDA de base.
Robert O'Sullivan, cofondateur et PDG de Comvest, dirigera la nouvelle entité alignée, sous la direction d'Anne Valentine Andrews, responsable mondiale des marchés privés. La transaction sera financée avec les liquidités disponibles, entraînant une réduction de moins de 3 points du ratio LICAT de Manulife.
Manulife Financial Corporation (TSX: MFC) hat den Erwerb von 75% an Comvest Credit Partners für eine anfängliche Zahlung von
Die Transaktion vereint Manulifes Senior Credit Team mit einem Volumen von 3,7 Milliarden US-Dollar mit Comvests Plattform im Wert von 14,7 Milliarden US-Dollar und schafft so eine führende Plattform für das Management von Private-Credit-Vermögenswerten im Wert von 18,4 Milliarden US-Dollar, die unter dem Namen Manulife | Comvest firmieren wird. Der Abschluss des Deals wird für das 4. Quartal 2025 erwartet und wird sich sofort positiv auf das Kern-EPS, die Kern-ROE und die Kern-EBITDA-Marge auswirken.
Robert O'Sullivan, Mitgründer und CEO von Comvest, wird das neu ausgerichtete Unternehmen leiten und direkt an Anne Valentine Andrews, Global Head of Private Markets, berichten. Die Transaktion wird aus vorhandenen Barmitteln finanziert und führt zu einer Reduzierung der LICAT-Quote von Manulife um weniger als 3 Punkte.
- Immediately accretive to core EPS, core ROE, and core EBITDA margin
- Creates a substantial US$18.4 billion private credit platform
- Complementary business models with different market focus areas
- Fully funded with cash on hand with minimal impact on LICAT ratio (less than 3 points)
- Retention of key leadership ensures business continuity
- Additional upside through performance-based earnout structure
- Significant upfront cash payment of US$937.5 million required
- Integration risks between two different corporate cultures
- Potential additional payment obligation of up to US$337.5 million
- 25% ownership remains with Comvest employees for at least 6 years
Insights
Manulife's acquisition of Comvest creates an $18.4B private credit platform, immediately boosting earnings with complementary lending strategies.
Manulife's US$937.5 million acquisition of 75% of Comvest Credit Partners represents a strategic expansion in the high-growth private credit market. The deal combines Manulife's US$3.7 billion Senior Credit team with Comvest's US$14.7 billion platform to create a comprehensive US$18.4 billion private credit offering.
The transaction's structure is particularly compelling. Manulife gains immediate scale in private credit while retaining 25% ownership with Comvest employees, ensuring alignment of interests. The agreement includes performance-based earn-outs up to US$337.5 million and a path to full ownership after six years, creating strong incentives for continued growth.
What makes this acquisition strategically valuable is the complementary nature of their lending approaches. Comvest specializes in non-sponsor backed middle market direct lending and specialty finance, while Manulife has built relationships in private equity sponsor-backed lending. This combination creates a more diversified platform that can address multiple segments of the private credit market.
From a financial perspective, the deal is expected to be immediately accretive to Manulife's core EPS, core ROE, and core EBITDA margin. The transaction will be funded with cash on hand, reducing Manulife's LICAT ratio by less than 3 percentage points, suggesting minimal impact on overall financial strength.
This acquisition follows Manulife's earlier purchase of CQS, demonstrating a deliberate strategy to build a comprehensive credit platform spanning both public and private markets. The combined entity will operate as Manulife | Comvest, with Comvest's Robert O'Sullivan leading the aligned business while reporting to Manulife's Global Head of Private Markets.
- Consistent with Manulife's strategy to increase earnings from its highest potential businesses
- Comvest is a rapidly growing, middle market private credit manager
- Alignment creates a comprehensive
US 1 private credit asset management platform$18.4 billion - Comvest leadership will lead the aligned private credit platform and there will be no changes to investment process or strategy
- Financially attractive transaction for Manulife shareholders, expected to be immediately accretive to core EPS, core ROE, and core EBITDA margin
TSX/NYSE/PSE: MFC SEHK: 945 C$ unless otherwise stated
"With a continued focus on disciplined, strategic capital deployment, our acquisition of Comvest Credit Partners further enhances our private markets platform by adding differentiated capabilities in private credit. The transaction is expected to be immediately accretive to core EPS, core ROE and core EBITDA margin, it will contribute to the strong growth trajectory of our broader Global Wealth and Asset Management business."
- Phil Witherington, Manulife President & Chief Executive Officer
"We are excited to see the continued growth and maturity of private credit as an asset class, providing flexible, tailored financing to businesses that are underserved by traditional lenders, while offering investors attractive, risk-adjusted returns. We are thrilled to welcome Comvest's exceptionally talented team of investment professionals. This acquisition, coupled with our acquisition last year of CQS, demonstrates our commitment to thoughtfully grow our business and offer a broader range of investment solutions to our institutional, retail, and retirement clients."
- Paul Lorentz, President & CEO of Manulife Wealth and Asset Management
"This partnership is an important step forward for Comvest and will meaningfully strengthen our market position. From the outset, the synergies between Comvest and Manulife have been clear, we share a disciplined approach to credit, a client-first mindset, and a strong focus on team culture. Manulife's deep relationships with private equity sponsors, robust sourcing capabilities, financial strength, and broad distribution platform will help us scale our differentiated private credit strategy and unlock new opportunities."
- Robert O'Sullivan, Comvest Credit Partners Chief Executive Officer |
Transaction Details
Comvest Credit Partners has built a differentiated approach to private credit, offering investors a diversified strategy encompassing non-sponsor lending, specialty finance sector exposure and traditional sponsor lending in the core mid-market. The firm has a demonstrated track record of fundraising and a history of delivering strong risk-adjusted returns through market cycles.
Manulife's existing Senior Credit business and Comvest are highly complementary given the different areas of the market they focus upon. Comvest is focused on non-sponsor backed middle market direct lending and other specialty lending, while Manulife has built a strong reputation over the last decade serving the private equity sponsor-backed market, and these deep sponsor relationships will benefit the aligned platform going forward.
In addition to the upfront consideration, Comvest will be eligible for additional consideration of up to
Michael Falk, Founder of Comvest, will assume a role as Senior Advisor and Board Member where he will continue to offer strategic advice and guidance. Robert O'Sullivan, Co-Founder and CEO of Comvest, will be appointed Head of the newly aligned business. He will report directly to Anne Valentine Andrews, Global Head of Private Markets, and will join the Private Markets Executive Committee.
In addition to significantly enhancing and scaling Manulife's Private Markets business, the new Manulife | Comvest private credit platform will also complement our existing public market alternative credit platform, Manulife | CQS Investment Management, positioning the company to offer the full spectrum of credit solutions to clients.
The transaction is expected to close in the fourth quarter of 2025, subject to customary closing conditions and approvals.
Morgan Stanley & Co. LLC is acting as exclusive financial advisor to Manulife on the transaction and Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal advisor.
Conference Call
A live webcast and conference call are scheduled for Thursday August 7, 2025, at 8:00 a.m. (ET), where Phil Witherington, President and CEO, Colin Simpson, Chief Financial Officer, Paul Lorentz, President and CEO of Manulife Wealth and Asset Management, and other members of Manulife's executive leadership team will discuss Manulife's second quarter 2025 results and the acquisition of Comvest Credit Partners, followed by a question and answer period with analysts.
To access the conference call, dial 1-800-806-5484 or 1-416-340-2217 (Passcode: 8528599#). Please call in 15 minutes before the scheduled start time.
Slides related to this announcement are available on the Manulife website.
Media Inquiries
Jeff Cathie
(857) 944-9017
Jeffrey_cathie@manulife.com
Investor Relations
Derek Theobalds
(416) 254-1774
derek_theobalds@manulife.com
About Manulife
Manulife Financial Corporation is a leading international financial services provider, helping our customers make their decisions easier and lives better. With our global headquarters in
Not all offerings are available in all jurisdictions. For additional information, please visit manulife.com.
About Manulife Wealth & Asset Management
As part of Manulife Financial Corporation, Manulife Wealth & Asset Management provides global investment, financial advice, and retirement plan services to 19 million individuals, institutions, and retirement plan members worldwide. Our mission is to make decisions easier and lives better by empowering people today to invest for a better tomorrow. As a committed partner to our clients and as a responsible steward of investor capital, we offer a heritage of risk management, deep expertise across public and private markets, and comprehensive retirement plan services. We seek to provide better investment and impact outcomes and to help people confidently save and invest for a more secure financial future. Not all offerings are available in all jurisdictions. For additional information, please visit manulifeim.com.
About Comvest Credit Partners
Comvest Credit Partners, the direct lending platform of Comvest Partners, focuses on providing flexible financing solutions to middle-market companies. Comvest Credit Partners provides senior secured, unitranche, and second lien capital to sponsored and non-sponsored companies in support of growth, acquisitions, buyouts, refinancings, and recapitalizations, with credit facilities up to
Non-GAAP and other financial measures
Manulife prepares its Consolidated Financial Statements in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board. We use a number of non-GAAP and other financial measures to evaluate overall performance and to assess each of our businesses. This section includes information required by National Instrument 52-112 – Non-GAAP and Other Financial Measures Disclosure in respect of "specified financial measures" (as defined therein).
Non-GAAP financial measures in this document include AUM.
For more information on the non-GAAP and other financial measures in this document, please see "Non-GAAP and Other Financial Measures" of the 2Q25 MD&A which is incorporated by reference and available on the SEDAR+ website at www.sedarplus.ca.
CAUTION REGARDING FORWARD-LOOKING STATEMENTS:
This document contains forward-looking statements within the meaning of the "safe harbour" provisions of Canadian provincial securities laws and the
Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Important factors that could cause actual results to differ materially from expectations include but are not limited to: the anticipated benefits from the transaction; changes in general economic and market conditions, laws and regulations, the expected business performance of Comvest Credit Partners, and the expected time to close the transaction.
Additional information about material risk factors that could cause actual results to differ materially from expectations may be found in our most recent annual and interim reports and elsewhere in our filings with Canadian and
The forward-looking statements in this document are, unless otherwise indicated, stated as of the date hereof. We do not undertake to update any forward-looking statements, except as required by law.
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1 Includes Manulife assets under management ("AUM") of |
2 Comvest employees will retain a |
3 Comvest Credit Partners is a fully owned subsidiary of private credit and private equity investment manager Comvest Partners. Comvest Partners' private equity strategy, Comvest Investment Partners, is not included in the agreement. |
4 Includes Comvest fee paying AUM of |
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SOURCE Manulife Financial Corporation
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