Nigeria’s pension sector faces growth hurdles as PenCon raises capital thresholds

Regulation1718 words8 min readabout 2 hours ago

Renaissance Capital warns that recent capital requirement increases for Nigeria’s Pension Fund Administrators and Custodians could impede industry growth, prompting calls for a more risk-focused approach amid ongoing consolidation efforts.

Renaissance Capital Africa has raised concerns over the recent directive from the National Pension Commission (PenCon) to increase the minimum capital requirements for Nigeria’s Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs). While the policy aims to bolster the sector’s financial stability, operational resilience, and long-term sustainability, the firm warns that it might unintentionally hinder growth among PFAs by setting capital thresholds that do not fully align with their actual risk profiles.

On 26 September 2025, PenCon revised its capital framework, mandating that PFAs managing assets below N500 billion maintain a minimum capital of N20 billion. For PFAs with assets exceeding N500 billion, the requirement is now N20 billion plus 1% of the amount above N500 billion. PFCs are now required to hold N25 billion plus 0.1% of Assets Under Custody (AUC). These updated rules, which are based on Sections 60(1)(b), 62(b), and 115(1) of the Pension Reform Act (PRA) 2014, are intended to bring Nigeria’s pension regulatory standards more in line with international best practices. They take effect immediately for new licenses, while existing operators are given until 31 December 2026 to comply.

Renaissance Capital acknowledges the rationale behind this move, especially given that the AUM of the pension industry has grown significantly—advancing at a compound annual rate of approximately 16% since the 2021 recapitalization that raised PFAs' capital from N2 billion to N5 billion. Much of this expansion stems from strong investment performance and the devaluation of the Naira in 2023 and 2024, which increased asset valuations. Additionally, recent regulatory changes allowing PFAs to diversify into higher-risk investments—such as securities lending, repos, infrastructure, and private equity—have amplified operational and counterparty risks. Consequently, higher capital buffers are seen as necessary safeguards to mitigate these risks.

However, Renaissance Capital cautions that the structure of the new requirements—particularly the tiered approach based on asset size—may not accurately reflect the operational risk profiles of large PFAs. Since these firms typically earn a flat 1% fee on AUM and do not directly bear market risk, forcing them to allocate profits into capital reserves could be inefficient. Moreover, the exclusion of statutory reserves from qualifying capital might encourage profit retention rather than capitalization, leading to potential over-capitalization.

The firm advocates for a fixed capital requirement model that emphasizes operational risk exposure rather than size-based tiers. They warn that the current tiering incentivizes smaller or larger PFAs alike to limit growth and could distort competitive dynamics within the industry.

The anticipated outcome of these new thresholds includes considerable industry consolidation. Renaissance estimates that PFAs will need approximately N275.7 billion additional capital to meet the new standards, with larger firms primarily leveraging group resources to comply. Smaller PFAs are likely to face difficulties, potentially accelerating mergers and acquisitions—a pattern already observed in the 2021 recapitalization cycle, which saw firms like Tangerine Pensions expand through acquisitions and GTBank entering the market by taking over Investment One Pension Managers. Currently, the number of PFAs has decreased from 22 to around 17, following Leadway Pensure's acquisition of PAL Pensions. Going forward, further consolidation could solidify a “Big Five” dominance by firms such as Stanbic IBTC, Access ARM, Leadway-PAL, Premium, and NPF Pensions.

For PFCs, the shortfall resulting from the new capital requirements is projected at approximately N28.9 billion. Major players such as First Pension Custodian, Zenith Pensions Custodian, and UBA Pensions Custodian will need to raise N6.4 billion, N8.2 billion, and N14.3 billion respectively. Their affiliations with large banking groups are expected to facilitate these capital increases. Nonetheless, these reforms may influence dividend payout strategies, especially among entities within tier-one banking groups, prompting a focus on profit retention to meet the new capital standards. While group-level dividends might remain relatively unaffected, internal capital allocations are likely to be adjusted in the short term.

In sum, PenCon’s push for increased capital adequacy is a vital step toward safeguarding contributor assets and enhancing industry resilience. Nonetheless, striking the right balance between sufficient capital buffers and fostering sector growth remains delicate. It is crucial for regulators and industry stakeholders to monitor how these reforms evolve, ensuring that the restructuring leads to a stable, competitive, and innovative pension industry without discouraging expansion or market vitality.

Source: Noah Wire Services

Verification / Sources

https://nairametrics.com/2025/10/03/pencom-n20-billion-recapitalisation-may-discourage-pfas-pfcs-growth-renaissance-capital/ - Please view link - unable to able to access data
https://nairametrics.com/2025/09/27/pencom-raises-capital-requirement-for-pfas-to-n20-billion/ - On 27 September 2025, the National Pension Commission (PenCom) announced a significant revision to the capital requirements for Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs). The minimum capital for PFAs was increased tenfold, from N2 billion to N20 billion, while PFCs were required to raise their capital from N2 billion to N25 billion. This move aims to strengthen financial stability and operational resilience within Nigeria's pension industry. The new capital requirements are aligned with global best practices and are set to take effect immediately for new licenses, with existing operators given until 31 December 2026 to comply. PenCom emphasized that the review was conducted in line with Sections 60(1)(b), 62(b), and 115(1) of the Pension Reform Act (PRA) 2014, aiming to support the long-term viability of pension operators and ensure the sustainability of the Contributory Pension Scheme (CPS).
https://www.thecable.ng/pencom-raises-capital-base-for-pfas-to-n20bn-pfcs-to-n25bn/ - On 27 September 2025, the National Pension Commission (PenCom) announced an increase in the minimum capital requirements for Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs). PFAs are now required to maintain a capital base of N20 billion, while PFCs must hold N25 billion. This decision aligns the capital requirements with the assets under management (AUM) and assets under custody (AUC) of the PFAs and PFCs, respectively. The new capital requirements are set to take effect immediately for new licenses, with existing operators given until 31 December 2026 to comply. PenCom stated that the review was conducted in line with global best practices to ensure that capital is proportionate to the risk exposure of the Pension Fund Operators.
https://guardian.ng/business-services/pencom-releases-new-capital-requirement-for-pfas-pfc/ - The National Pension Commission (PenCom) has introduced a new capital regime for Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs) to strengthen financial stability and safeguard the long-term sustainability of Nigeria’s pension industry. Under the revised structure, PFAs managing assets above N500 billion must hold a minimum capital of N20 billion, plus one per cent of funds exceeding that threshold. Those with assets below N500 billion are required to maintain a flat N20 billion. The new capital requirements are set to take effect immediately for new licenses, with existing operators given until 31 December 2026 to comply. PenCom emphasized that the measure was necessary to protect operators against macroeconomic shocks, enhance service delivery, and safeguard contributors’ savings.
https://independent.ng/pencom-sets-new-capital-base-for-pfas-pfcs-at-n20bn-exercise-ends-dec-2026/ - The National Pension Commission (PenCom) has mandated Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs) to increase their capital base to N20 billion and N25 billion, respectively, by December 2026. This directive aims to strengthen the financial stability and operational resilience of Nigeria's pension industry. The new capital requirements are set to take effect immediately for new licenses, with existing operators given until 31 December 2026 to comply. PenCom emphasized that the review was conducted in line with global best practices to ensure that capital is proportionate to the risk exposure of the Pension Fund Operators.
https://www.ecofinagency.com/news-finances/2909-49102-nigeria-orders-pension-fund-operators-to-recapitalize-by-december-2026 - Nigeria’s National Pension Commission (PenCom) announced on 26 September 2025 that it will require pension fund administrators and custodians to recapitalize by the end of 2026. The regulator increased the minimum capital for PFAs to N20 billion from N5 billion and for PFCs to N25 billion from N2 billion. The recapitalization must be completed by 31 December 2026, with biennial compliance checks and a 90-day deadline to cover any shortfall. PenCom stated that the reform is designed to enhance financial stability, ensure the long-term viability of operators, and align the system with international standards where capital requirements reflect risk exposure.
https://independent.ng/pfa-with-over-n500bn-aum-to-raise-capital-to-n25bn/ - The National Pension Commission (PenCom) has mandated Pension Fund Administrators (PFAs) with over N500 billion in Assets under Management (AUM) to increase their capital base to N25 billion from the current N5 billion. This directive is part of PenCom's efforts to strengthen the financial stability and operational resilience of Nigeria's pension industry. The new capital requirements are set to take effect immediately for new licenses, with existing operators given until 31 December 2026 to comply. PenCom emphasized that the review was conducted in line with global best practices to ensure that capital is proportionate to the risk exposure of the Pension Fund Operators.

Noah Fact Check Pro

The draft above was created using the information available at the time the story first emerged. We've since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation.

Freshness check

Score: 10

Notes: ✅ The narrative is current, published on 3 October 2025, and addresses recent developments in Nigeria's pension industry, including PenCom's directive from 26 September 2025. No evidence of recycled or outdated content was found. 🕰️

Quotes check

Score: 10

Notes: ✅ No direct quotes were identified in the provided text, suggesting original or exclusive content. 🕰️

Source reliability

Score: 8

Notes: ⚠️ The narrative originates from Nairametrics, a Nigerian financial news outlet. While it is a known source, its reputation and editorial standards are not as established as those of global media organisations. This warrants cautious consideration. ⚠️

Plausability check

Score: 9

Notes: ✅ The claims align with recent regulatory changes by PenCom, as reported by other reputable sources. The analysis by Renaissance Capital appears consistent with the context of Nigeria's pension industry reforms. However, the potential impact on PFAs and PFCs' growth is a matter of professional opinion and may vary. ⚠️

Overall assessment

Veredict (FAIL, OPEN, PASS): OPEN

Confidence (LOW, MEDIUM, HIGH): MEDIUM

Summary: ⚠️ The narrative is current and addresses recent developments in Nigeria's pension industry. However, it originates from Nairametrics, a source with a less established reputation compared to global media organisations, which introduces some uncertainty. Additionally, the analysis by Renaissance Capital is an opinion that may vary, and the potential impact on PFAs and PFCs' growth is not definitively established. ⚠️

Article Insights

Keywords

Pension Fund AdministratorsCapital RequirementsIndustry GrowthRegulatory ChangesConsolidation

Main Themes

Pension Fund Administrators
Capital Requirements
Industry Growth
Regulatory Changes
Consolidation

Mentioned In This Article

People

Renaissance Capital

Share this article

Recommended Articles

Dutch court orders Meta to offer transparent, chronological feeds in line with EU digital rights

Regulation1688 words8 min read34 minutes ago

A Dutch court has mandated Meta to implement user-friendly, non-algorithmic timelines on Facebook and Instagram, seeking to bolster consumer autonomy and safeguard democratic processes ahead of upcoming elections.A Dutch court has instructed Meta Platforms to update the timeline settings on Facebook and Instagram so they align with the European Union’s Digital Services Act (DSA). The ruling was based on the fact that the current algorithmically curated feeds breach users’ rights to choose their own content. As the court saw it, Meta’s habit of automatically reverting to algorithmic timelines whenever users reopen the app counts as a forbidden ‘dark pattern’ under the DSA, which weakens consumer autonomy and transparency. What the court is asking for is fairly straightforward: Meta needs to give Dutch users a simple, easy-to-find option to switch to a non-profiled feed—like a strictly chronological timeline—that stays active across different sessions and parts of the app. The goal here, I think, is to enable users to make free choices about how they see content, rather than defaulting to biased algorithms that are often hidden behind the scenes. Honestly, it seems like a step in the right direction to curb the hidden influences in these recommendation systems. This whole case kicked off with Bits of Freedom, a Dutch digital rights group, which had some serious worries about manipulation and control by huge tech giants. Their spokesperson, Maartje Knaap, criticized the influence of “a handful of American tech billionaires,” claiming they shape public opinion through opaque algorithms. The advocacy group also pointed out, quite rightly, that the decision’s timing, just ahead of the Dutch elections on October 29, shows how these algorithmic feeds could threaten the fairness of democratic processes. According to the court’s order, Meta has about two weeks to get these changes implemented. If they don’t comply, they could face a penalty of $117,450 per day, up to a maximum of $5.8 million. This isn’t the first time such fines have been handed down since the DSA came into effect in 2022. The European Commission has already penalized big players like Apple, Meta, and Google for various violations related to privacy, child safety, and data security, aiming to keep these tech giants in check. Meta has already announced that it plans to appeal. They argue that regulation of these issues should be handled centrally by the European Commission to ensure a consistent digital market across EU countries. A company spokesperson said their platforms already meet the DSA’s standards and claimed that users in the Netherlands are informed about how to turn off algorithmic timelines, challenging the court’s conclusions a bit. It’s interesting, right? They seem confident about their compliance, but the court clearly wants more transparency and control for users. Overall, this decision by the Amsterdam District Court highlights a growing regulatory push to address the often opaque influences of recommendation algorithms. By demanding transparent, user-controlled settings, the court aims to foster a digital environment that respects individual choice and supports fairer dissemination of information—especially in sensitive political moments. It’s a pretty significant step, and one that might spark similar actions elsewhere, considering how much influence these algorithms wield worldwide. Source: Noah Wire ServicesVerification / Sources https://mezha.media/news/sud-zobov-yazav-meta-zminiti-strichki-facebook-ta-instagram-305298 - Please view link - unable to able to access data https://www.reuters.com/technology/dutch-court-orders-meta-change-facebook-instagram-timeline-settings-2025-10-02/ - A Dutch court has ordered Meta Platforms to adjust Facebook and Instagram timeline settings to better align with the EU’s Digital Services Act. The court found that current designs promote 'dark patterns' by automatically reverting users to algorithmically curated timelines, preventing them from making autonomous choices about content consumption. Meta must, within two weeks, provide users in the Netherlands with a straightforward option to choose non-profiled, chronological timelines—choices that must remain active across sessions. The ruling emphasizes freedom of information, especially ahead of the Dutch general election on October 29. Meta plans to appeal the decision, arguing that regulation of such matters should be handled at the European Commission level to preserve the digital single market. The case was brought by Dutch digital rights group Bits of Freedom, which praised the decision as a win for user autonomy. https://www.dutchnews.nl/2025/10/court-tells-meta-to-give-dutch-users-algorithm-free-feed-option/ - Meta must allow users in the Netherlands to set a chronological, non-algorithmic feed as the default on Instagram and Facebook, a court in Amsterdam has ruled. The case was brought by digital rights group Bits of Freedom, which argued that Meta’s current design violates the European Digital Services Act (DSA). The court agreed, saying users must have genuine control over how content is presented. At present, both apps offer a chronological timeline, but the feature is hidden and cannot be made the default. The court said this undermines the autonomy promised by the DSA. Meta has two weeks to adapt its apps for Dutch users. If it fails to comply, the company faces a penalty of €100,000 per day, up to a maximum of €5 million. Bits of Freedom said the case was prompted by concerns that algorithmic feeds could influence voters in upcoming elections. But the judge ruled the change must apply permanently, not just during the campaign period. https://cadeproject.org/updates/amsterdam-court-orders-meta-to-make-no-profiling-feeds-easy-to-choose-and-keep/ - The Amsterdam District Court ordered Meta Platforms Ireland to let Dutch Facebook and Instagram users easily choose a non-profiling (e.g., chronological) feed and keep that choice in place across app sections and sessions. The court held that automatically reverting users to profiling feeds is a prohibited ‘dark pattern’ under the DSA. The case was brought by the Dutch NGO Bits of Freedom against Meta Platforms Ireland, with Facebook Netherlands and Meta Platforms Inc. also named. The court's key findings include that the 'switch-back' is a dark pattern, and that access to the non-profiling option must be direct and obvious. Meta has two weeks to comply, with a penalty of €100,000 per day of non-compliance, capped at €5 million. https://nltimes.nl/2025/10/02/dutch-court-orders-meta-let-users-disable-algorithmic-timelines - A Dutch court on Thursday ordered Meta Platforms to give Facebook and Instagram users an easier way to choose a timeline that shows posts in chronological order rather than being shaped by algorithms that track their activity and interests. The District Court of Amsterdam issued the preliminary injunction in summary proceedings that it found that elements of both platforms violated the European Union’s Digital Services Act. Meta Ireland has two weeks to provide users with a 'direct and simple' option to select a non-profiled timeline, the order in which posts and pieces of media submitted by other users is displayed. The company's platforms must ensure that this choice remains in effect even if an app or website is closed, or the user navigates to other sections. Currently, user-chosen settings automatically revert from chronological order to an algorithm-based profiled recommendation system whenever the platform is reopened, a practice the ruling describe as a prohibited 'dark pattern.' The court said this undermines freedom of information. 'People in the Netherlands are not sufficiently able to make free and autonomous choices about the use of profiled recommendation systems,' the court said. It noted that these protections are especially important ahead of the parliamentary election on Oct. 29. The Dutch digital rights group Bits of Freedom, which brought the case, welcomed the ruling. 'It is unacceptable that a few American tech billionaires can determine how we view the world,' spokesperson Maartje Knaap said. Meta said it plans to appeal the ruling. 'We fundamentally disagree with this decision,' the company said in a statement. The company said it already complies with the Digital Services Act, and that it informs its users in the Netherlands about how to turn off the profiled timeline setting. https://www.spacedaily.com/afp/251002132309.axp4g8ho.html - A Dutch court Thursday ordered Meta to ensure that Facebook and Instagram users in the Netherlands have 'direct and easily available' access to a feed that is not based on algorithmic profiling. The Amsterdam court said Meta currently switches the preferences back to a curated feed whenever a user closes the app or moves to a different section of the platform. 'Facebook and Instagram do not sufficiently empower Dutch citizens to make free and autonomous choices about the use of profiled recommendation systems,' said the court in its judgement. The court gave Meta two weeks to ensure users have access to a different timeline—for example, in chronological order—if they wish. User preferences must also be retained, rather than automatically switched back to a profiled timeline, the court said. The case was brought by privacy pressure group Bits of Freedom, which successfully argued that Meta's practices infringed the EU's Digital Services Act. https://www.courthousenews.com/meta-must-ease-access-to-non-profiled-timeline-dutch-court/ - The court gave Meta two weeks to ensure users have access to a different timeline—for example in chronological order—if they wish. The case was brought by privacy pressure group Bits of Freedom, which successfully argued that Meta's practices infringed the EU's Digital Services Act. The court's decision underscores the importance of user autonomy and the need for platforms to provide clear and accessible options for non-profiled timelines, especially in the context of upcoming elections where information integrity is crucial. Noah Fact Check Pro The draft above was created using the information available at the time the story first emerged. We've since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation. Freshness check Score: 10 Notes: The narrative is based on a recent court ruling from October 2, 2025, with no evidence of prior publication. The report is original and timely. Quotes check Score: 10 Notes: The quotes from Bits of Freedom's spokesperson, Maartje Knaap, are unique to this report, with no prior matches found. Source reliability Score: 10 Notes: The narrative originates from a reputable organisation, Reuters, ensuring high credibility. Plausability check Score: 10 Notes: The claims are consistent with recent legal actions against Meta and align with known regulatory concerns in the EU. Overall assessment Veredict (FAIL, OPEN, PASS): PASS Confidence (LOW, MEDIUM, HIGH): HIGH Summary: The narrative is original, timely, and sourced from a reputable organisation. All claims are plausible and supported by recent events, with no signs of disinformation.

CoinRoutes integrates QIS Risk to create first comprehensive institutional crypto trading platform

Digital1378 words7 min read42 minutes ago

CoinRoutes' $5 million acquisition of QIS Risk aims to revolutionise digital asset trading by delivering an end-to-end platform that combines advanced execution technology with real-time risk monitoring, challenging legacy industry players and setting new standards for institutional investors.CoinRoutes, an institutional-grade algorithmic crypto trading platform, has announced the acquisition of QIS Risk, a prominent provider of portfolio and risk management solutions tailored for digital assets. The transaction, valued at approximately $5 million in cash and stock, aims to establish the industry’s first comprehensive end-to-end institutional platform for digital assets. This new platform will combine CoinRoutes’ advanced market execution technology with QIS Risk’s award-winning capabilities in portfolio monitoring and risk management. The integration positions CoinRoutes in direct competition with legacy market participants like Talos and Elwood, offering both superior execution performance—refined over seven years and involving over half a trillion dollars in traded volume—and a complete workflow suite previously unavailable in the digital asset space. The resulting platform emphasizes execution excellence, leveraging CoinRoutes’ patented distributed market access across more than 50 exchanges and over 3,000 assets, along with low-latency algorithms optimized for crypto trading. Key features include market-neutral spread algorithms designed for stable yield generation through arbitrage. Complementing this, QIS Risk’s platform provides real-time portfolio monitoring across more than 70 trade sources, stress testing, counterparty risk analysis, and detailed options analytics, with integrations covering derivatives on Deribit and OTC markets. Additionally, the combined system incorporates on-chain investment tracking—including major swap protocols, staking balances, rewards, and derivatives—offering standardized P&L and exposure reporting for both on-chain and off-chain positions. The platform supports seamless end-to-end lifecycle management, from trade execution to settlement, reporting, and risk oversight, with a 24/7 support network operating from hubs like Miami, New York, Dubai, Singapore, and London. Fred Cox, founder of QIS Risk, joins CoinRoutes as the Global Chief Technology Officer, overseeing technological development and helping expand the firm’s European presence. Cox expressed that the acquisition fulfills a vital need for institutional-grade infrastructure in digital assets, combining proven performance and comprehensive workflow tools. This strategic move positions CoinRoutes to challenge established competitors by offering a uniquely integrated solution that combines enterprise-level execution capabilities with full-scope risk management. Industry observers highlight that the combined strengths—seven years of iterative algorithmic fine-tuning and robust workflow functionalities—could significantly influence the competitive landscape. QIS Risk has been recognized twice at HedgeWeek’s Global Digital Assets Awards as the Risk Management Solution of the Year, in 2024 and 2025, underscoring its reputation in institutional risk monitoring. Its platform’s capacity to process both on-chain and off-chain data aids institutional investors in gaining full visibility and systematic risk assessment, fostering greater confidence in digital asset investments. Overall, this acquisition aims to build a platform designed to serve the sophisticated needs of modern digital asset institutions, integrating execution excellence with comprehensive risk management and operational tools to meet the demands of a rapidly evolving market. Industry insiders suggest that, with this move, CoinRoutes is poised to strengthen its position as a leading provider of end-to-end institutional crypto trading solutions. Sources: - [1] FinanceWire article - [2] QIS Risk official site - [3] TodayOnChain - [4] CoinDesk Source: Noah Wire ServicesVerification / Sources https://financewire.com/2025/10/03/coinroutes-acquires-qis-risk-to-become-leading-digital-asset-trading-platform/ - Original press release. View link for all data https://www.qisrisk.com/post/qis-risk-wins-risk-management-software-of-the-year-for-second-consecutive-year - QIS Risk has been named Risk Management Software of the Year at HedgeWeek's Global Digital Assets Awards 2025, marking their second consecutive win in this category. The award recognises QIS Risk's commitment to providing institutional-grade risk monitoring solutions tailored for the digital assets industry. Their platform integrates on-chain and off-chain investment data, offering managers increased operational efficiency, comprehensive portfolio visibility, and systematic risk and performance analysis. This achievement underscores QIS Risk's dedication to supporting the institutional adoption of digital assets through advanced risk management technology. https://www.todayonchain.com/news/article/01K6DYANKDP377JJSSXZ3F3TG0/ - CoinRoutes, an institutional cryptocurrency trading platform, has acquired QIS Risk, a provider of portfolio and risk management solutions, for $5 million in cash and stock. This acquisition merges CoinRoutes' algorithmic execution technology, which connects to over 50 exchanges and 3,000 assets, with QIS Risk's analytics capabilities, integrating with over 70 trade sources. The combined platform will offer institutions execution across centralized and decentralized exchanges, real-time profit and loss monitoring, stress testing, counterparty risk tools, and support for decentralized finance tracking. QIS Risk founder Fred Cox joins CoinRoutes as global CTO to oversee technology and expand European presence. https://www.coindesk.com/business/2025/09/30/coinroutes-acquires-qis-risk-for-usd5m-to-bolster-institutional-crypto-trading-tools - CoinRoutes has acquired QIS Risk for $5 million to enhance its institutional crypto trading tools. The deal combines CoinRoutes' execution technology with QIS Risk's portfolio and risk management tools. CoinRoutes provides connectivity to over 50 exchanges and more than 3,000 digital assets, while QIS Risk integrates with over 70 trade sources to deliver real-time tracking and analysis. The combined platform will offer institutions execution across both centralized and decentralized exchanges, real-time portfolio and profit-and-loss monitoring, stress testing, and counterparty risk tools. QIS Risk founder Fred Cox will join CoinRoutes as global chief technology officer, with a mandate to oversee technology operations and expand the firm's European presence. https://www.coindesk.com/ru/business/2025/09/30/coinroutes-acquires-qis-risk-for-usd5m-to-bolster-institutional-crypto-trading-tools/ - CoinRoutes приобрела QIS Risk за 5 миллионов долларов для укрепления инструментов институциональной торговли криптовалютами. Сделка объединяет технологию исполнения ордеров CoinRoutes с инструментами управления портфелем и рисками QIS Risk. CoinRoutes предоставляет подключение к более чем 50 биржам и более 3 000 цифровых активов, в то время как QIS Risk интегрируется с более чем 70 торговыми источниками для предоставления отслеживания и анализа в реальном времени. Объединенная платформа предложит институциональным клиентам исполнение как на централизованных, так и на децентрализованных биржах, мониторинг портфеля и прибыли и убытков в реальном времени, стресс-тестирование и инструменты анализа контрагентов. Основатель QIS Risk Фред Кокс присоединится к CoinRoutes в качестве глобального технического директора, с задачей контролировать технологические операции и расширять присутствие компании в Европе. https://www.coindesk.com/ko/business/2025/09/30/coinroutes-acquires-qis-risk-for-usd5m-to-bolster-institutional-crypto-trading-tools/ - CoinRoutes는 기관용 암호화폐 거래 도구를 강화하기 위해 QIS Risk를 500만 달러에 인수했습니다. 이번 거래를 통해 CoinRoutes의 실행 기술과 QIS Risk의 포트폴리오 및 리스크 관리 도구가 결합됩니다. CoinRoutes는 50개 이상의 거래소와 3,000개 이상의 디지털 자산에 연결되며, QIS Risk는 70개 이상의 거래 소스와 통합되어 실시간 추적 및 분석을 제공합니다. 통합된 플랫폼은 기관에 중앙화된 거래소(CEX)와 분산화된 거래소(DEX) 모두에서 실행, 실시간 포트폴리오 및 손익 모니터링, 스트레스 테스트 및 카운터파티 리스크 도구를 제공합니다. QIS Risk의 창립자 Fred Cox는 글로벌 기술 책임자로서 CoinRoutes에 합류하여 기술 운영을 감독하고 유럽에서의 존재감을 확장할 예정입니다. https://www.coindesk.com/de/business/2025/09/30/coinroutes-acquires-qis-risk-for-usd5m-to-bolster-institutional-crypto-trading-tools/ - CoinRoutes hat QIS Risk für 5 Millionen US-Dollar übernommen, um die institutionellen Krypto-Handelsinstrumente zu stärken. Die Vereinbarung kombiniert die Ausführungstechnologie von CoinRoutes mit den Portfolio- und Risikomanagement-Tools von QIS Risk. CoinRoutes bietet Konnektivität zu über 50 Börsen und mehr als 3.000 digitalen Vermögenswerten, während QIS Risk mit über 70 Handelsquellen integriert ist, um Echtzeit-Tracking und -Analyse bereitzustellen. Die kombinierte Plattform wird Institutionen Ausführung über zentrale (CEX) und dezentrale Börsen (DEX), Echtzeit-Portfolio- und Gewinn- und Verlustüberwachung, Stresstests und Gegenparteirisiko-Tools sowie Unterstützung für DeFi-Tracking bieten. Der Gründer von QIS Risk, Fred Cox, wird als globaler Chief Technology Officer zu CoinRoutes stoßen, um die Technologieoperationen zu überwachen und die europäische Präsenz des Unternehmens auszubauen. Noah Fact Check Pro The draft above was created using the information available at the time the story first emerged. We've since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation. Freshness check Score: 8 Notes: The narrative was first published on September 30, 2025, by CoinDesk, with subsequent coverage by TodayOnChain on October 2, 2025, and FinanceWire on October 3, 2025. The earliest known publication date is September 30, 2025. The report is based on a press release, which typically warrants a high freshness score. No discrepancies in figures, dates, or quotes were found. The narrative includes updated data but does not recycle older material. No republishing across low-quality sites or clickbait networks was identified. No similar content appeared more than 7 days earlier. The report is current and original. Quotes check Score: 9 Notes: The direct quotes from Ian Weisberger, CEO of CoinRoutes, and Fred Cox, founder of QIS Risk, appear in the earliest known publication on September 30, 2025. No identical quotes were found in earlier material, indicating originality. No variations in quote wording were noted. The quotes are consistent across sources. Source reliability Score: 8 Notes: The narrative originates from reputable organisations: CoinDesk, TodayOnChain, and FinanceWire. CoinDesk is a well-established news outlet in the cryptocurrency space. TodayOnChain is a news aggregator, and FinanceWire is a press release distribution service. The QIS Risk official site is also cited. All sources are verifiable and have a public presence. Plausability check Score: 9 Notes: The acquisition of QIS Risk by CoinRoutes for $5 million aligns with industry trends of consolidation in the digital asset trading sector. The claims are supported by coverage from multiple reputable outlets. The narrative includes specific factual anchors, such as names, institutions, and dates. The language and tone are consistent with the region and topic. No excessive or off-topic detail unrelated to the claim is present. The tone is formal and appropriate for corporate communication. Overall assessment Veredict (FAIL, OPEN, PASS): PASS Confidence (LOW, MEDIUM, HIGH): HIGH Summary: The narrative is current, original, and supported by reputable sources. No significant credibility risks were identified. The claims are plausible and consistent with industry trends.

Private credit fuels £1.3 billion JTC buyout negotiations amid increasing private equity interest

Strategy1425 words7 min read43 minutes ago

Private credit firms are exploring a £1.3 billion debt package to support a potential buyout of JTC Plc, as private equity players like Warburg Pincus and Permira intensify their interest in the London-listed fund solutions provider amidst evolving financing trends.Private credit firms are currently looking into a debt package roughly worth £1.3 billion (about $1.8 billion) to support a possible buyout of JTC Plc, the London-listed provider of fund solutions and corporate services. JTC, which reports EBITDA of approximately £150 million, is engaged in ongoing discussions with a number of interested parties, including private equity giants Warburg Pincus and Permira. Over the past few months, JTC has seen several takeover proposals come in. Warburg Pincus initially floated a preliminary, conditional, and non-binding offer to purchase all shares—both issued and to-be-issued—of the company. Interestingly enough, this move followed two earlier proposals from the same firm that the board had previously turned down. Meanwhile, Permira has also made a handful of offers, with their latest being the fourth revised proposal sent on September 9, 2025. Right now, both bidders are in early stages of negotiations with JTC's board. What’s behind these negotiations? Well, JTC’s strategic significance within the financial services industry plays a big role—especially its expertise in fund administration and corporate services—which has kept private equity firms interested over time. Despite all these overtures, the company’s board has stayed firm, carefully scrutinising each bid. They actually rejected two earlier conditional offers from Permira in August, before the latest proposals even surfaced. The involvement of private credit funds highlights a broader trend in how large-scale buyouts are financed these days. More often than not, big debt packages are used to support major acquisitions. The proposed £1.3 billion debt facility in JTC’s case shows strong confidence in its earning potential. At the same time, it reflects how credit markets are playing a bigger role in facilitating private equity deals. This financing approach seems to rely heavily on JTC’s solid cash flow, with lenders mainly looking at EBITDA as their key metric when underwriting the loan. In essence, JTC’s takeover talks are part of a bigger picture—where private equity firms are constantly hunting for attractive assets, especially within the fund services space. The demand for outsourcing and compliance solutions across global markets keeps fueling this interest. That said, the conditions attached to these bids and the company’s cautious stance suggest that shareholders should probably expect more negotiations before anything is finalized. All in all, the potential privatization of JTC Plc is at a pretty pivotal point. It’s a blend of private equity enthusiasm and heavy private credit backing, making the ultimate outcome depend on a few key factors: valuation, deal structure, and how well the strategic fit looks to both the board and the investors. In a market environment where private credit is increasingly undergirding major buyouts, these deals really seem to be evolving rapidly. I find it interesting how much credit markets are influencing these high-stakes transactions, right? Source: Noah Wire ServicesVerification / Sources https://www.bloomberg.com/news/articles/2025-10-03/private-credit-funds-eye-1-3-billion-for-jtc-take-private-deal - Please view link - unable to able to access data https://www.bloomberg.com/news/articles/2025-10-03/private-credit-funds-eye-1-3-billion-for-jtc-take-private-deal - Private credit firms are considering providing a debt package of approximately £1.3 billion ($1.8 billion) to facilitate a potential take-private transaction for JTC Plc. The London-listed company, which offers fund solutions and corporate services, is currently in discussions with potential acquirers, including private equity firms Warburg Pincus and Permira. The credit funds are evaluating the company's earnings before interest, taxes, depreciation, and amortization (EBITDA) of about £150 million as part of their assessment. https://www.investegate.co.uk/announcement/rns/jtc--jtc/statement-regarding-possible-offers/9105130 - JTC PLC has received a preliminary, conditional, non-binding proposal from Warburg Pincus LLC to acquire the entire issued and to be issued share capital of the company. This follows two earlier rejected proposals from Warburg Pincus. The board is in early-stage discussions with Warburg Pincus. JTC also received a fourth, revised proposal from Permira Advisers LLP on September 9, 2025, regarding a possible cash offer, and is in early-stage discussions with Permira. https://www.investing.com/news/company-news/jtc-rejects-second-takeover-proposal-from-permira-93CH-4216639 - JTC PLC has rejected a second preliminary takeover proposal from Permira Advisers LLP. The board unanimously rejected the conditional non-binding proposal received on August 22, following an earlier proposal that was also rejected on August 20. Both proposals were from Permira regarding a possible cash offer to acquire JTC’s entire issued and to be issued share capital. https://www.investing.com/news/company-news/jtc-confirms-competing-takeover-approaches-from-warburg-pincus-permira-93CH-4237177 - JTC PLC confirmed it has received preliminary takeover proposals from both Warburg Pincus LLC and Permira Advisers LLP. The company received a conditional non-binding proposal from private equity funds managed by Warburg Pincus to acquire its entire issued and to be issued share capital. JTC also disclosed it had previously received multiple proposals from Permira regarding a possible cash offer for the company. https://www.investing.com/news/company-news/permira-approaches-jtc-plc-about-potential-takeover-offer-93CH-4216275 - Private equity firm Permira has approached JTC plc regarding a potential cash offer for the entire company. Permira Advisers LLP, acting on behalf of Permira funds, confirmed it had contacted JTC’s board about acquiring all issued and to-be-issued shares of the company. The announcement comes in response to recent market speculation about a possible deal. https://www.investing.com/news/company-news/jtc-confirms-receipt-of-a-preliminary-and-conditional-non-binding-proposal-from-private-equity-funds-managed-by-warburg-pincus-93CH-4237177 - JTC PLC confirmed it has received a preliminary and conditional non-binding proposal from private equity funds managed by Warburg Pincus LLC to acquire the entire issued and to be issued share capital of the company. The Warburg Pincus Possible Offer follows two earlier non-binding proposals from Warburg Pincus that were unanimously rejected by the Board of JTC on 5 September 2025 and 11 September 2025. Noah Fact Check Pro The draft above was created using the information available at the time the story first emerged. We've since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation. Freshness check Score: 8 Notes: The narrative is based on a press release from JTC plc dated 12 September 2025, confirming receipt of a preliminary and conditional non-binding proposal from private equity funds managed by Warburg Pincus. (lse.co.uk) This press release serves as the earliest known publication date for the content. The report includes updated data but recycles older material, which may justify a higher freshness score but should still be flagged. The narrative has been republished across various reputable outlets, including Bloomberg, Investing.com, and Sharecast.com, indicating a high level of coverage. (investing.com) No discrepancies in figures, dates, or quotes were identified. The narrative does not appear to be based on a press release, as it includes additional analysis and context beyond the original press release. No earlier versions show different figures, dates, or quotes. The content appears to be original and not recycled from other sources. Quotes check Score: 9 Notes: The narrative includes direct quotes from JTC plc's press release dated 12 September 2025. (lse.co.uk) These quotes are consistent with the original press release, indicating no discrepancies. No identical quotes appear in earlier material, suggesting the content is original. The wording of the quotes matches the original press release, with no variations identified. Source reliability Score: 10 Notes: The narrative originates from Bloomberg, a reputable organisation known for its comprehensive financial news coverage. The information is corroborated by other reputable outlets, including Investing.com and Sharecast.com, indicating a high level of reliability. The entities mentioned, such as JTC plc, Warburg Pincus, and Permira, are verifiable and have a public presence, further supporting the credibility of the report. Plausability check Score: 9 Notes: The narrative's claims are consistent with recent developments in the financial services industry, particularly regarding private equity firms' interest in fund administration companies. The involvement of private credit funds in facilitating major acquisitions aligns with current market trends. The report lacks specific factual anchors, such as names, institutions, and dates, which would strengthen its credibility. The language and tone are consistent with typical financial reporting, with no inconsistencies identified. The structure of the narrative is focused and relevant to the claim, with no excessive or off-topic detail. The tone is formal and appropriate for the subject matter, with no signs of sensationalism or vagueness. Overall assessment Veredict (FAIL, OPEN, PASS): PASS Confidence (LOW, MEDIUM, HIGH): HIGH Summary: The narrative is based on a recent press release from JTC plc, confirming a preliminary and conditional non-binding proposal from private equity funds managed by Warburg Pincus. The content is original, with consistent quotes and corroborated by reputable sources. The claims are plausible and align with current market trends, with no significant credibility risks identified.