JPMorgan (NYSE:JPM) has completed the acquisition of the fintech company Global Shares. The terms of the sale announced in March have not been made public.
Through its cloud-based platform, Global Shares of Ireland assists organizations in managing employee stock programs. Through its operations in Europe, the Middle East & Africa, North America, and the Asia-Pacific, the company manages over $200 billion in assets for 650 corporate clients
Global Shares will be included in the Asset & Wealth Management (AWM) division of JPMorgan (NYSE:JPM). The organization will continue to operate from its current site.
With the purchase of Global Shares, (NYSE:JPM) will become one of the world’s leading providers of employee ownership solutions for private and public enterprises. Global Shares’ share plan services and JPMorgan’s comprehensive suite of wealth management, executive financial services, and other banking products and services will benefit companies and employees.
Tim Houstoun, CEO of Global Shares, stated at the time of the deal’s announcement, We are ecstatic to join with J.P. Morgan (NYSE:JPM)and to continue on our path to being a market leader in equity incentive services. Together, we will accelerate the global expansion of our business and the expansion of the services we offer our clients and their workers.
In addition, the CEO of the AWM segment, Mary Callahan Erdoes, stated, The addition of Global Shares is complementary across our entire J.P. Morgan franchise, from new client acquisition for our Global Private Bank and U.S. Wealth Management businesses to providing new, innovative capabilities to private and public companies globally and assisting their employees with wealth management.
Our Viewpoint JPMorgan (JPM) Global Shares
JPMorgan (NYSE:JPM) prioritizes smart on-bolt acquisitions to expand into new domestic and foreign revenue streams. In January, the company agreed to buy a 49% share in cloud-based payments fintech company Viva Wallet Holdings Software Development S.A., based in Greece.
The corporation announced multiple acquisitions in 2021. Notable investments include a 75% ownership in Volkswagen Financial Services, OpenInvest, a 40% position in Brazil’s C6 Bank, the U.K. Robo-advisor Netmeg, and 55ip. In addition, Chase has launched its digital retail bank in the United Kingdom and continues to expand in China. Consequently, these initiatives are anticipated to continue helping JPMorgan’s strategy to diversify revenues and increase its fee income product suite and digital consumer bank.
In addition to (NYSE:JPM), numerous other banks, such as Truist Financial TFC and Citizens Financial Group, Inc. CFG, are pursuing opportunistic acquisitions to diversify their revenue streams and increase their market share.
This month, TFC, through its subsidiary Truist Insurance Holdings, entered into a deal with funds owned by The Carlyle Group Inc. to acquire BenefitMall, the nation’s largest benefits wholesale general agency. The sale is slated to close in the third quarter of 2022, however, the terms of the financial transaction have not been disclosed.
The transaction is anticipated to bring $150 million in yearly income to the wholesale segment of Truist Insurance Holdings.
Citizens Financial is also on a buying binge. In July of this year, the company announced its intention to purchase Paladin Advisors, an independent, SEC-registered investment advisor, in an effort to bolster its private wealth management business.
Previously, CFG acquired DH Capital LLC and Investors Bancorp, and in February it acquired 80 East Coast branches and the national online deposit business from HSBC Bank U.S.A., N.A. These acquisitions, along with others, allow the corporation to increase its product capabilities and geographic reach.
Featured Image: Megapixl @Tktktk
