Nordic Capital Acquires Majority Stake in 1741 Group

Nordic Capital has entered into an agreement to acquire a majority stake in 1741 Group, a prominent service provider in the structuring and administration of collective investment schemes. Founded in 2016, 1741 Group has established itself as a significant player in Switzerland and Liechtenstein, managing assets under administration exceeding CHF 23 billion. This acquisition is part of Nordic Capital’s strategy to enhance 1741 Group’s growth trajectory in the European fund services market.

The deal, announced on October 24, 2023, will see Nordic Capital collaborate closely with 1741 Group’s existing management team, including CEO Dr. Benedikt Czok, who will retain operational responsibility and a significant shareholding of approximately 20%. Co-Founder and Co-CEO Markus Wagner will transition to an advisory role, ensuring continuity in leadership during this pivotal phase.

Nordic Capital’s investment is expected to provide not only financial resources but also operational expertise, which will be crucial as 1741 Group seeks to expand its service offerings and client base. Dr. Czok expressed enthusiasm about the partnership, stating, “We see very exciting possibilities and great opportunities for significant growth in the coming years, both organic and inorganic.”

1741 Group has been recognized for its entrepreneurial spirit and scalable platform, which positions it well for future acquisitions along its value chain. The company has also been expanding its presence in Luxembourg since 2021, further diversifying its geographic footprint.

David Samuelson, Partner at Nordic Capital Advisors, highlighted the impressive growth of 1741 Group, noting its strong client network and resilient business model. He stated, “Nordic Capital is excited to support 1741 Group and its management during the upcoming growth phase.”

The acquisition is part of Nordic Capital’s Evolution platform, which focuses on mid-market growth companies across Northern Europe. With a committed capital of EUR 3.2 billion, the platform has made 14 investments since its inception in 2021. The transaction is subject to closing conditions and is expected to be finalized within the current half-year.

As the fund services industry continues to evolve, this acquisition positions 1741 Group to play a significant role in market consolidation across Europe. The partnership aims to leverage Nordic Capital’s extensive experience in building successful financial services companies to enhance 1741 Group’s operational capabilities and market reach.