The funds managed by Blackstone Tactical Opportunities Advisors L.L.C. and TPG Sixth Street Partners agreed to acquire Kensington Group plc and other mortgage assets of Investec Group Limited (JSE:INL) for £1.6 billion in cash on September 9, 2014. The consideration paid includes £180 million in cash and Investec's funding line to Kensington and other mortgage assets which was £1.4 billion as at March 31, 2014, is to be repaid entirely at completion. The transaction does not include Investec's Irish mortgage entities, assets or operations. Keith Street will continue to lead the Kensington mortgage business. Blackstone Tactical Opportunities Advisors L.L.C. and TPG Special Situations Partners are appointing Ian Henderson as Group Chief Executive to lead the strategy. Kensington Group plc and other mortgage assets had gross assets of £3.7 billion as at March 31, 2014. The transaction is subject to anti-trust and regulatory approvals, including approval from the UK Financial Conduct Authority and finalization of the purchaser's financing commitments.

The proceeds received from the transaction will be deployed in the UK specialist banking operations. It is estimated that upon completion of the transaction, Investec's common equity tier 1 ratio will increase by approximately 1%. The transaction was approved by European Commission on December 8, 2014. The transaction is expected to close on January 30, 2015. Malik Karim and Graham Marchant from Fenchurch and Investec Investment Bank acted as financial advisors and Jason Nisse, Jonathan Clare and Alistair Kellie of Newgate Communications and Marina Bidoli of Brunswick acted as PR advisors for Investec. Iain Wagstaff, Tracey Lochhead, James Harbach, Fionnghuala Griggs, Alexander Shopov, Ben Finger, Matthew Plaskow, Sinead Casey, Simon Kerr-Davis, Timothy Lowe, Rhian Parker, Richard Cumbley, Dalal Tahri, Tommy Chen, Lucy Wordley, Sagar Kothari, Linda Thompson, Christopher Stonehill, Rachel Hetherington, Pedro Caro de Sousa, Peter Cohen-Millstein, Lisa Chang, Rebecca Rigby, Kay Moon, Zena Kukreja, Andrew Vickery and Sarah Lindley of Linklaters LLP acted as legal advisor for Investec. David Higgins and James Scott from Freshfields Bruckhaus Deringer LLP acted as financial advisors for Blackstone. Berwin Leighton Paisner LLP acted as legal advisor for Blackstone and TPG. Morgan Stanley Group Inc. acted as financial advisor to Blackstone Tactical Opportunities and TPG. Ernst & Young Global Limited acted as accountant to Investec plc.

The funds managed by Blackstone Tactical Opportunities Advisors L.L.C. and TPG Sixth Street Partners completed the acquisition of Kensington Group plc and other mortgage assets of Investec Group Limited (JSE:INL) on January 30, 2015.