Natixis Investment Managers has agreed to acquire a 24.9% minority stake in US-based asset manager WCM Investment Management.
The agreement also includes a long-term exclusive distribution arrangement that enables Natixis to distribute WCM’s investment strategies globally, subject to limited exclusions.
WCM focuses on managing low-turnover, alpha-generating equity portfolios. The firm oversees nearly $29bn in assets.
Natixis Investment Managers CEO Jean Raby said: “We are pleased to become the global third-party distributor for WCM, whose strong track record and proven investment process make them an excellent partner and strong addition to our global offering.
“Our investment in WCM exemplifies our commitment to adding high-conviction, highly active investment managers to our multi-affiliate platform in order to provide our clients with a wide range of unique investment opportunities.”
WCM will retain its operational independence and autonomy. The business’ existing management team, including its co-CEOs Paul Black and Kurt Winrich, will also remain unchanged.
The deal is expected to be completed in the second half of this year, subject to regulatory approvals. Financial terms of the deal were not divulged.
Commenting on the deal, Black said: “After a lot of thought and collective input, we concluded the smartest way to enhance our stability, and to guard our investment temperament, was to partner with a world-class global distribution platform.
“For some time now we’ve known that diversifying the product mix within the firm – by raising the profile of our global strategy, our emerging markets strategy, and various other investment strategies – is the key to making this happen.”