Affiliated Managers Group Inc. announced it has reached a definitive agreement to buy a majority stake in Trilogy Global Advisors LLC.
Trilogy, which had $12 billion of assets under management as of June 30, specializes in emerging- and global markets strategies. With offices in New York and Florida, it manages assets for institutional and retail clients using a risk-management approach to growth-oriented investing. The company has expanded its client base nationally, in Europe and the Asia Pacific region.
Trilogy has 21 investment professionals who average more than 16 years of experience. The company's management team, which is led by its chief investment officer and co-founder, William Sterling, will remain with the company when the deal closes. Following that, the firm's management will reinvest a significant portion of the transaction proceeds into Trilogy products. Trilogy's management partners will continue to hold a substantial portion of the equity of the business and direct its day-to-day operations.
"We are confident in Trilogy's outstanding long-term growth prospects," said Sean M. Healey, AMG's president and chief executive officer. "Global and emerging markets are among the fastest-growing areas in the asset-management industry, and, with its excellent investment performance record, Trilogy is a leader among firms investing in these areas. We look forward to working with Trilogy on a range of initiatives, including AMG's global distribution and client service capabilities, which will further enhance the firm's prospects.
Healey said in a press release Monday that the acquisition extends AMG's position in outstanding global and emerging-markets products, "which will account for nearly 40% of our earnings upon the closing of the transaction."
Sterling said that through the acquisition, Trilogy is "in a position to facilitate succession planning through a structure that ensures a robust incentive plan is in place for the next generation."
The price of the deal was not disclosed.
AMG, which is based in Boston, is a global asset management company with equity investments in boutique investment management firms. As of June 30, the aggregate assets under management of AMG's affiliates were approximately $261 billion.