Foundry Partners has agreed to acquire the growth equity team from Arbor Capital Management, a Foundry news release said Tuesday.
Terms of the transaction were not disclosed.
When the acquisition is completed on Sept. 30, Arbor Capital will be wound down and closed, Rick Leggott, Arbor's founder and CEO, said in an interview. Mr. Leggott will join Foundry as a managing director and as a member of the firm's investment management committee.
The three other members of Arbor's investment staff also will join Foundry Partners.
“We view it as a strategic move to grow forward,” Mr. Leggott said, noting the team will have better distribution under the umbrella of a larger asset management firm.
Arbor manages $200 million primarily through domestic small-cap growth and international small-cap growth strategies. Foundry manages more than $2 billion in assets.
In March, Foundry Partners announced it had acquired a small- and midcap value equity team from Dreman Value Management. Foundry was established in 2013 with the purchase of the growth and value equity teams from ClearArc Capital, formerly Fifth Third Asset Management.
Foundry Partners officials could not immediately be reached for comment.
