Apex Group secures corporate ratings from Moody’s and S&P Global

The Group and its subsidiaries were assigned a ‘B2’ Corporate family rating (“CFR”) by Moody’s and a ‘B - ’ CFR by S&P Global. This is a milestone achievement that reflects The Group’s established position in the global financial services market with a comprehensive product and single-source solution offering, along with its high level of operating profitability and strong free cash flow generation.

The outlooks assigned by both agencies are stable, reflecting the expectation that Apex will be able to sustainably increase its revenue and profitability over the next 12-18 months through continued organic growth and the successful integration of recent acquisitions. S&P Global notes that there could be a material upside to the credit metrics and rating if acquisition integration deliver operational benefits to the degree anticipated by Apex.

Apex has continually improved and evolved its capabilities to offer broadest range of solutions in the industry including fund services, digital banking, depositary, custody, super ManCo services, compliance solutions, corporate services, and a pioneering ESG Ratings and Advisory service for private companies.

Following an investment from private equity investor Genstar in 2017, the Group has grown both organically and via strategic acquisition, increasing its assets under administration from $80bn, to $1.5 trillion in assets (upon the close of the recent acquisition of Mainstream Group) serviced across administration, custody, depositary and under management. The Group’s single-source solution will be delivered by nearly 5,000 employees across 50 offices worldwide.

Peter Hughes, Founder and Chief Executive Officer at Apex Group comments: “These ratings mark the halfway milestone in a truly transformative year for the Apex Group and demonstrate our focus on developing a strong credit profile, while building a business with a focus and purpose to be more than just financial services provider. We look forward to continuing to innovate in the way we service our clients, to building on the strength and stability of our business for employees, and to driving positive change in the industry.”

David Carrick, Chief Financial Officer at Apex Group comments: “This is a culmination of a collective effort across the company and we are proud of this recognition of our strong credit rating profile. The performance of our teams and the business as a whole over the last year has remained robust and the rating outcome is a testament to the resilient business model we have built. We have built an unparalleled breadth of product and scaled our geographic footprint on the foundations of exceptional levels of client service and retention. With these ratings, we look forward to continuing our growth trajectory and further enhancing our capabilities.”

This announcement follows the recent announcement of a new minority stake in The Group from leading growth investor TA Associates.