Liontrust Asset Management agreed to acquire Switzerland-listed money manager GAM Holdings in a 107 million Swiss francs ($120 million) deal, creating a firm with about $65.8 billion in assets under management and advisement.
U.K. manager Liontrust said in a regulatory filing on Wednesday that the proposed acquisition is set to complete in the fourth quarter. Liontrust will issue 9.4 million new shares, with GAM shareholders expected to own about 12.6% of the combined group once the deal closes.
Liontrust runs global equities, global fixed-income, sustainable investment and multiasset strategies, while GAM runs fixed-income, equity, systematic and multiasset portfolios.
The deal expands Liontrust's presence in Europe beyond its offices in London, Edinburgh and Luxembourg, adding Switzerland, Asia and the U.S. to its list of locations "and therefore a platform for expansion in those areas," the filing said.
Liontrust had £31.8 billion ($39.5 billion) in assets under management and advisement as of Wednesday, the filing said.
"This is a significant acquisition that accelerates the growth of Liontrust through enhancing our distribution globally, product capability and investment talent," John Ions, CEO at Liontrust, said in the filing. "Liontrust and GAM are both client centric businesses that thrive on providing solutions and first-class service. The enlarged company will provide the platform from which to deliver this to a broader client base."
Last month, Bainbridge Partners agreed to acquire three alternatives strategies with a combined 80 million Swiss francs in assets from GAM.
A Liontrust spokeswoman said there is no information yet on GAM CEO Peter Sanderson's role post-acquisition. She added there is no change to the GAM investment teams.