ABN AMRO is acquiring Alleghany Asset Management from its parent company, Alleghany Corp., for about $825 million. ABN AMRO also will provide retention payments and other compensation incentives to persuade key Alleghany Asset employees to remain with the company. Alleghany’s $45 billion under management will boost ABN AMRO’s global assets under management by 40%, to $155 billion; and Alleghany’s 13 mutual funds will provide ABN AMRO with its first entry into the U.S. mutual fund market.
ABN AMRO also will gain Alleghany’s five money management subsidiaries as well as Alleghany’s 40% share in Veredus Asset Management.
The Alleghany subsidiaries will be combined with ABN AMRO Asset Management within the private clients and asset management unit of ABN AMRO, said a spokesman from ABN AMRO headquarters in Amsterdam.
