F.A.B. Partners, a Jersey-based alternative investment platform created by former executives of Deutsche Bank and Goldman Sachs Group, has agreed to acquire US private debt manager CIFC in a cash deal valued at about $333m.
As per the agreed terms of the merger deal, CIFC shareholders will secure $11.36 per share as merger consideration, in addition to a $0.10 per share distribution.
F.A.B. received capital support for the acquisition from Supreme Universal Holdings, a firm controlled by the royal family of Qatar.
The deal has already received the nod from CIFC's board of directors. It is anticipated to be completed this calendar year, subject to shareholders’ and regulatory approvals.
F.A.B co-founding partner Michele Faissola said: "CIFC is a leading private debt investment platform and one of the largest CLO managers in the industry and we are thrilled that this acquisition marks our first foray into the U.S. credit markets.
"CIFC's highly experienced investment team, institutional infrastructure and blue-chip client base, make them an ideal partner for us as we look to access the U.S. market for our clients. Our clients are committed to capitalizing on both current and future investment opportunities in the U.S. and we view CIFC as our beachhead into these exciting opportunities."
CIFC, a $14bn private debt manager, specialises in US corporate loan strategies. The New York-based firm is one of the largest managers of collateralised loan obligations in North America.
CIFC co-president and CIO Stephen Vaccaro said: "We have spent the past 10 years building a robust and scalable U.S. private debt business. With the support of F.A.B., our company embarks on a new chapter of growth and product line expansion.”