The acquisition of Logan Circle, which had $33.7 billion in assets under management as of March 31, is expected to close in the third quarter and will give MetLife's investment management business more than $560 billion in AUM, according to a news release.
"We are excited to join MetLife and believe our collective resources across the fixed-income spectrum will enable us to enhance our best-in-class investment management and client service capabilities," said Jude T. Driscoll, Logan Circle Partners founder, CEO and chief investment officer, in the news release. "Our team's core focus and objectives will remain unchanged — delivering returns through research-driven portfolios built on in-depth fundamental research. This is an ideal combination for our investors and our team."
Mr. Calagna said no decision has been made yet regarding branding following the completion of the acquisition, and the vast majority of the approximately 80 Logan Circle employees will be given employment offers.
The acquisition would leave Fortress Investment Group with slightly more than half of its total AUM, which totaled $70.6 billion as of March 31. As of that date, its credit business had $17.7 billion in AUM; private equity, $14.5 billion; and liquid markets, $4.2 billion. The deal follows the SoftBank Group Corp.'s pending $3.3 billion acquisition of Fortress, announced in February of this year. Upon closing, Fortress, which went public in 2007, will become a private company again.
Gordon E. Runte, Fortress spokesman, could not be immediately reached to provide comment.