Janus Capital Group will pay $90 million for an additional 50% stake in U.S. value equity manager Perkins, Wolf, McDonnell, bringing its total ownership of the firm to 80%, according to a Janus news release. The deal is expected to close in the fourth quarter. Janus had acquired the original 30% stake in 2003.
After the deal is closed, Perkins will change its name to Perkins Investment Management; some Janus fund names will be changed to Perkins as well. The Janus Mid Cap Value funds will change their names to Perkins Mid Cap Value funds, and similar changes are in store for the Janus Small Cap Value and Janus Small Company Value funds.
Also, Janus plans to unveil the Janus Adviser Perkins Large Cap Value fund later this year, which will be run by Perkins portfolio managers Tom Perkins and Kevin Preloger.
The increased stake represents a move by Janus to shed its image as an exclusively large-cap growth equity manager, said D.J. Neiman, an equity research analyst with William Blair & Co.
They need to be more diversified and have a broader investment mandate. This is a positive step, Mr. Neiman said.