Jupiter Fund Management is to acquire specialist asset manager CCLA Investment Management for £100m.

The deal will add over £15bn in assets under management to Jupiter.

CCLA is a specialist asset manager serving non-profit organisations including charities, religious institutions and local authorities.

Jupiter will acquire the entire issued share capital of CCLA for £100m. The cash, paid on completion, will be funded from existing balance sheet cash resources.

The acquisition remains subject to regulatory approvals and is expected to complete before the end of the year.

Matthew Beesley, CEO at Jupiter, said the acquisition will help the fund manager to increase scale in the UK without disruption to existing clients.

He said: “It opens up a new client segment for us, broadening our appeal to a range of charitable and religious institutions, both in the UK and internationally, while also allowing us to expand our existing presence in the UK Local Authority sector.”

Currently around 75% of Jupiter’s assets under management are sourced from clients based in the UK.

Under the deal Jupiter will retain both the CCLA brand and investment teams.

Jupiter expects the acquisition to bring run-rate cost synergies of at least £16m a year by the end of 2027. The fund manager expects to spend around £17m over four years to integrate CCLA, net of tax.

CCLA has generated net inflows into long-term funds each of the last 15 years, with cumulative net inflows of £4.3bn since 2015 (excluding short duration and money market funds, and segregated mandates).

For the financial year ended 31 March 2025, CCLA generated £66 million of revenue and just under £13 million of underlying operating earnings.

Jupiter saw assets under management fall by £1bn to £44.3bn in the first quarter as high retail outflows continued to bite.

Group net outflows for Q1 were £0.5bn, driven by outflows of over £1.5bn from retail clients during the first quarter of 2025.

The fund manager blamed the high retail outflows on a worsening macro environment and investor sentiment towards risk assets.

The fund manager reported net outflows during every quarter last year, putting the latest outflows in a more positive light. Last quarter (Q4 2024) the fund manager reported net outflows of £5.3bn due to lower gross inflows of £2.7bn combined with higher gross outflows of £8bn.

Assets under management dropped in every quarter last year with assets under management in the first quarter of 2024 closing at £52.6bn.

In 2024 the struggling fund manager saw underlying profits fall 7% to £97.5m in 2024, down from £105.2m the previous year, as net outflows soared to £10.3bn, up from £2.2bn.

The company was hit during the year by star manager Ben Whitmore leaving its Value equity team to set up a boutique firm. He had been with Jupiter since 2006 after joining the firm from Schroders and looked after around £10bn. His departure led to £6.2bn of outflows, the company said.