JP Morgan buys Clonakilty business Global Shares

New York bank JP Morgan has acquired Clonakilty tech firm Global Shares for an undisclosed sum.

The Cork-based company has created share plan management software used by corporates all over the world.

The deal – the terms of which have not been disclosed – is subject to regulatory approvals and closing. The transaction is expected to close in the second half of 2022. 

“This is a great news for both our clients and all of our employees”

According to The Irish Times, JP Morgan agreed to pay €665m ($727.6m) for the Cork business.

An employee-owned company, Global Shares last year revealed how it was seeking to increase its headcount from 370 currently to 1,000 by 2024.

Global vision

Global Shares is one of a handful of companies globally that offers fully outsourced employee share plan management.

It provides the administration services through its team of expert share plan analysts, financial, legal and compliance professionals, but also provides a software platform where employees can view, manage and sell the shares they own, online or through an app.

The Clonakilty firm’s success is also down to a global network of banking and brokerage partners.  A combination of the company’s software and partner banking and custody supports makes it the ideal solution for many global companies. Its clients include Italian insurance firm Generali, Krispy Kreme, Cargill, Fujitsu and many more global, household names.

“We are tremendously excited to partner with J.P. Morgan and to continue on our journey of being a leading player in equity incentive services,” said Tim Houstoun, CEO, Global Shares.

“Together, we will accelerate the expansion of our business globally as well as the range of services we offer to our clients and their employees. This is a great news for both our clients and all of our employees,” Houston added.

Founded in 2005, Global Shares has an expansive client base of over 600 corporate clients that range from early-stage start-ups to mature multinational public corporations.

The firm has nearly $200bn in assets under administration across 650,000 corporate employee participants. It operates with an experienced team of more than 600 employees headquartered in Cork, Ireland and 16 further locations across Europe, the Middle East & Africa, North America and Asia Pacific. Since July 2018, Global Shares has been partnered with specialist fintech investor, Motive Partners.

JP Morgan is the largest bank in the United States, the world’s largest bank by market capitalisation, and the fifth largest bank in the world with total assets of $3.75trn.

“The addition of Global Shares is complementary across our entire J.P. Morgan franchise from new client acquisition for our Global Private Bank and U.S. Wealth Management businesses to providing new, innovative capabilities to private and public companies globally and helping their employees manage their wealth,” said Mary Callahan Erdoes, CEO, J.P. Morgan Asset & Wealth Management.

John Kennedy
Award-winning editor John Kennedy is one of Ireland's most experienced business and technology journalists.