Religare Global Asset Management acquired a 55% stake in fund-of-funds manager Landmark Partners for $171.5 million, confirmed Matt Mongia, Religare's managing director.
Landmark has $8.3 billion of committed capital in funds of funds focused on investing on the secondary market, according to Religare's website.
Religare Global is a subsidiary of India-based emerging markets financial services group Religare Enterprises. Religare Global was formed this year to build an investment management platform. In February, Religare bought a majority interest in private equity fund-of-funds firm Northgate Capital, Mr. Mongia said.
Landmark Partners' management team will retain the remaining 45% equity stake, run the firm's day-to-day operations and be responsible for the investment decisions, said Francisco L. Borges, chairman and managing partner of Landmark Partners.
As part of the deal, Landmark's ownership is expanding to 11 executives from four and “puts into place a mechanism to expand ownership to other employees over time,” Mr. Borges said. Between 15% and 20% of Landmark's investments are global and the arrangement will allow the firm to expand further, he added
There will be no change in the investment strategy, Mr. Borges noted. “The impact to our investors is a positive one in that it secures the stability of the firm for years to come.”
Landmark is in the process of getting consent from limited partners. The transaction is subject to customary closing conditions and regulatory approvals.
Jefferies and Religare Capital Markets advised Religare Enterprises on the deal.