Manulife Financial Acquires Comvest Credit Partners to Expand Private Credit Market Presence
- Manulife Financial acquires a 75% stake in Comvest Credit Partners for US$937.5 million, enhancing its private credit presence.
- The merger creates a US$18.4 billion asset management platform, co-branded as Manulife | Comvest, boosting tailored financing solutions.
- This strategic move aims to improve Manulife's earnings and adapt to evolving market dynamics while delivering shareholder value.
Manulife Financial Expands Presence in Private Credit Market with Strategic Acquisition
Manulife Financial Corporation (MFC) announces a significant strategic move by acquiring a 75% stake in Comvest Credit Partners for US$937.5 million. This acquisition is set to enhance Manulife's foothold in the growing private credit sector, which has become increasingly important as investors seek alternative sources of yield amid fluctuating interest rates and a competitive lending landscape. Comvest, a middle-market private credit manager, currently oversees US$14.7 billion in assets. The merger of Comvest's expertise with Manulife's existing US$3.7 billion Senior Credit team creates a robust US$18.4 billion private credit asset management platform, co-branded as Manulife | Comvest.
Phil Witherington, Manulife's President and CEO, emphasizes that this acquisition not only strengthens the company's private markets platform but also enhances its ability to provide tailored financing solutions to businesses often overlooked by traditional lenders. The integration of Comvest's capabilities is expected to drive attractive risk-adjusted returns for investors and immediately benefit Manulife's core earnings per share (EPS), core return on equity (ROE), and EBITDA margins. With the financial services industry evolving rapidly, this strategic alignment positions Manulife to better serve institutional, retail, and retirement clients seeking innovative investment solutions.
The acquisition reflects Manulife's commitment to thoughtfully expanding its offerings while maintaining a disciplined approach to credit management. Paul Lorentz, President and CEO of Manulife Wealth and Asset Management, expresses enthusiasm for the growth potential within the private credit asset class. By leveraging Comvest's skilled investment team and expertise, Manulife aims to enhance its market position while delivering value to its shareholders and clients alike. This acquisition underscores the company's focus on adapting to changing market dynamics and reinforcing its client-centric approach.
In addition to the acquisition, Manulife Financial also announces a quarterly dividend of C$0.44 per share for its common shareholders, payable on September 19, 2025. This consistent dividend policy reflects the company’s ongoing commitment to returning value to shareholders while navigating the complexities of the financial services landscape.
Furthermore, on August 6, 2025, Manulife John Hancock Investments introduces the John Hancock Disciplined Value Select ETF, broadening its ETF suite to 17 funds. This move highlights the firm’s ambition to cater to diverse investment strategies and meet client demands for innovative financial products in a rapidly evolving market.