1251 Capital Group has agreed to acquire a majority stake in Ziegler Capital Management, an asset manager with $12.4 billion in assets under management as of Sept. 30, from Stifel Financial Corp., said Cosmo Macero Jr., spokesman for 1251 Capital Group.
Terms of the deal weren’t disclosed.
Some $1.9 billion in fixed-income assets are excluded from the deal and will remain under Stifel’s management, resulting in $10.5 billion in adjusted AUM. ZCM has been a wholly owned subsidiary of Stifel Financial since 2013.
“The team at Ziegler Capital Management has an impressive record of success, and the firm’s diversified client base and range of specialized investment strategies makes ZCM an excellent fit with 1251,” Michael Wilson, co-CEO of 1251 Capital Group, said in a news release announcing the deal.
ZCM’s management team, which includes 19 client-servicing professionals and more than 25 investment management professionals, will continue to independently manage the firm’s day-to-day operations and retain full control of the investment process.
The deal is expected to close in the first quarter of 2020, pending client approvals.
Morgan, Lewis & Bockius provided legal advice to 1251 Capital Group, Bryan Cave Leighton Paisner provided legal advice to Stifel, and Quarles & Brady provided legal advice to the management team of Ziegler Capital Management.