MainstreamBPO Buys Fundadministration as Part of Expansion

The deal is expected to bring MainstreamBPO's funds under administration to $94 billion.

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Fundadminsitration oversees 140 funds for 45 clients with $5 billion in funds under administration. The deal is expected to close by the end of September.

The acquisition will increase MainstreamBPO's FUA to $94 billion, the firm said in a filing to the Australian Stock Exchange. All of Fundadministration's staff will be joining MainstreamBPO, with chief executive officer Denise DePaolo joining the executive team to lead MainstreamBPO's US operations.

MainstreamBPO chairman and managing director Byram Johnston said that there are synergies between the two firms.

"There are strong synergies and like-minded values between our business with each focused on delivering high client service levels to our clients," he said.

Buying Fundadministration is expected to bolster MainstreamBPO's current business in Asia and Australia. MainstreamBPO wants to combine its business in North America and the Caribbean, a market it said accounts for $2.3 trillion in hedge fund manager assets out of New York.

The deal was for an undisclosed amount.

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