State Street will acquire Goldman Sachs Administration Services for $550 million in cash in a move that is likely to see 40 Dublin-based staff move to the enlarged operation.
In a communication to staff, chief executive Jay Hooley said the deal would make State Street the largest hedge fund administrator worldwide. The roughly $200 billion in assets under administration at the Goldman unit will bring State Street hedge fund assets under administration over the $1 trillion mark when the deal is completed.
State Street employs around 2,000 staff in Ireland at operations in Dublin, Drogheda, Kilkenny and Naas.
The US group also announced yesterday second quarter earnings, which were down on sharply lower foreign exchange revenue and weakness in international stock markets.
Second-quarter net income declined 4 per cent to $480 million, or 98 US cents a share, from $502 million, or $1 a share, a year earlier.
The results included a $46 million loss from the sale of Greek investment securities. – (Additional reporting Reuters)
