Norton Rose Fulbright advises Mercer on Cardano acquisition

Norton Rose Fulbright has advised Mercer on its agreement to acquire Cardano, a significant move expected to bolster Mercer’s pension services in the UK and the Netherlands while supporting global expansion. The transaction, which is subject to regulatory approvals, is anticipated to close by the end of 2024, although specific terms have not been disclosed.

Mercer, a global consulting business under Marsh McLennan, employs over 20,000 people across 43 countries and operates in more than 130 countries. The company is recognized for its expertise in redefining work, reshaping retirement and investment outcomes, and promoting health and well-being.

Cardano, established in 2000, manages approximately $66 billion in assets and offers a variety of services including fiduciary management, investment advisory services, and liability-driven investing. The firm operates in both the UK and the Netherlands, the two largest pension markets in Europe, and is known for its sustainability-focused approach. Through NOW: Pensions, Cardano manages the third-largest UK master trust platform, serving over two million savers across 27,000 employers, and has a strong presence in the auto-enrollment market.

The acquisition aims to enhance Mercer’s position as a premier pension provider in the UK and Netherlands and support its expansion to other large asset owners such as endowments, foundations, family offices, and insurers. Michael Dempsey, Mercer’s Wealth President, expressed enthusiasm about integrating Cardano’s team and specialized investment capabilities, emphasizing the potential to meet the evolving needs of pension clients and institutional investors.

Benoit Hudon, Mercer’s UK President and CEO, highlighted that the combined expertise would make Mercer the preferred pension provider in the UK and Netherlands, facilitating global growth beyond pensions. Michaël De Lathauwer, Cardano Group’s CEO, echoed these sentiments, noting that Mercer’s resources and investment talent would significantly benefit their clients and colleagues.

The advisory team from Norton Rose Fulbright, led by Marsh McLennan relationship partner Matt Foster and counsel David Bartlett, included associates Jack Whelan and Daisy Larcombe. A wider team of over 60 fee earners from the firm’s Amsterdam, Brussels, London, Luxembourg, and Newcastle offices supported the deal. Key members from Amsterdam included partner Saskia Blokland, counsels Rogier de Haan and Nikolai de Koning, and senior associate Carlo van Haasteren. The London team featured partners Dominic Stuttaford, Albert Weatherill, and Lesley Browning, alongside several other senior legal professionals.

Matt Foster expressed his satisfaction with the successful navigation of this complex multi-jurisdictional deal, anticipating that the merger would provide enhanced services for Mercer’s pension and investment clients.

This transaction is another notable accomplishment for Norton Rose Fulbright’s insurance and asset management group, which recently advised Mercer on its acquisition of the US investment advisory division of Vanguard Institutional Advisory Services. The firm also played a pivotal role in Conning Holdings Limited and Cathay Life Insurance’s acquisition of Conning by Generali Investment Holdings.

Norton Rose Fulbright’s global presence, with over 450 M&A partners and 700 other M&A lawyers across more than 50 offices, underscores its capacity to handle complex and high-profile transactions. The firm’s comprehensive M&A services span tax, labor, intellectual property, real estate, acquisition finance, and antitrust advice, solidifying its reputation as a leader in the global M&A sector.