Affiliated Managers Group announced two acquisitions Friday, taking a majority stake in U.S. equity manager River Road Asset Management from Aviva Investors North America and a minority equity stake in EIG Global Energy PartnersAviva Investorsgement from Aviva Investors North America and a minority equity stake in EIG Global Energy Partners from EIG management.
The terms of the transactions and sizes of the stakes were not disclosed; a spokeswoman for AMG declined to comment further.
Aviva officials said in a statement that the firm remains committed to the U.S. market, and the transaction is in line with its strategy of simplifying its business. River Road, with $11 billion under management, will remain a subadviser of Aviva Investors' U.S. equity income funds.
“River Road has a tremendous history of developing innovative products to meet the dynamic needs of its client base, including in areas increasingly attractive to global investors, such as low-volatility, income-oriented strategies,” said Sean M. Healey, chairman and CEO of AMG, in a news release.
The deal is expected to close in the third quarter.
EIG is a global alternative investment firm that specializes in private investments in energy and energy-related infrastructure. It has $15.9 billion under management. The deal with AMG is expected to close in April.
Daniel T. Fannon, Surinder Thind and Gerald E. O'Hara, all equity analysts at Jefferies & Co., said in a note Friday that they believe AMG paid about $150 million to $160 million for the majority equity stake in River Road, and about $275 million to $300 million for the minority stake in EIG.
AMG has equity investments in boutique investment management firms with $544 billion in combined assets under management.