Pacific Investment Management Co. announced it agreed to acquire Gurtin Municipal Bond Management.
Terms were not disclosed, a PIMCO spokeswoman said.
Gurtin has $14 billion in assets under management for high-net-worth and ultra-high-net-worth clients, the spokeswoman said.
PIMCO, which will have a total of $38 billion in dedicated municipal bond assets after the deal closes, will offer Gurtin strategies to its institutional and retail clients, according to a PIMCO news release.
"PIMCO's strategy is to grow mostly organically but we see exceptional value for clients in acquiring Gurtin," CEO Emmanuel Roman said in the release.
William R. Gurtin, Gurtin's founder, CEO and chief investment officer, will "be involved in the business for several years after the acquisition to oversee existing investment operations and support the combined business," according to the release. In a letter to investors posted on Gurtin's website, Mr. Gurtin said, "I have agreed to a long-term undertaking to remain with PIMCO and continue to oversee our investment strategies." Further details on Mr. Gurtin's role at PIMCO were not immediately available.
Gurtin's investment teams will also continue to manage the firm's strategies, PIMCO said in its release.
The deal is scheduled to close by the end of the year.
PIMCO had $1.77 trillion in total assets under management as of March 31.