Royal London Nears £130M Acquisition of 'Super Sewer' Investor Dalmore Capital

By Evans Momodu
1 minute read
Published 15:47 UK GMT

Royal London, one of the UK’s largest financial mutuals, is in exclusive discussions to acquire Dalmore Capital, an infrastructure investment firm with £6 billion in assets under management.

The deal, reportedly valued at around £130 million, would expand Royal London’s presence in alternative assets, particularly in infrastructure investments.

Dalmore Capital’s Key Investments

Dalmore Capital holds stakes in:

• Thames Tideway’s 25km ‘super sewer’, expected to be fully operational next year.
• Porterbrook, a major rolling stock leasing company for the UK rail network.
• Cory, a leading waste-to-energy firm.
• IEP West, a government-backed contract managing Hitachi Intercity Express Trains and depots for the Great Western Main Line.

If finalised, the acquisition would reflect a growing trend among asset managers toward infrastructure and alternative investments. BlackRock recently acquired Global Infrastructure Partners, further highlighting the industry shift.

Royal London Asset Management (RLAM) currently manages over £170 billion in client assets, and securing Dalmore would strengthen its portfolio in infrastructure investment.

Insiders suggest that a deal could be signed within weeks. Other potential buyers, including John Laing (owned by KKR), were reportedly interested in Dalmore before Royal London emerged as the frontrunner.

Both Royal London and Dalmore Capital have declined to comment on the negotiations.
Source: Sky news