Victory Capital has agreed to acquire certain assets of THB Asset Management, a US-based equity manager with $435m in assets under management.
Financial details of the transaction, which is expected to close early next year, were not shared.
The company will not pay any material consideration for the assets.
As part of the deal, THB’s investment team will join Victory Capital.
THB will be Victory Capital’s tenth investment franchise. This franchise will be subject to a compensation agreement based on revenue sharing.
Victory Capital chairman and CEO David Brown said: “We are pleased to welcome the THB investment team and their clients to Victory Capital.
“With investment strategies in asset classes where we have extensive operating and distribution experience, we look forward to a seamless and efficient integration as we also continue to evaluate a wide variety of other acquisition prospects.”
THB CIO Christopher Cuesta said: “Our investment team is delighted to be joining forces with Victory Capital. Their entrepreneurial culture, strategic vision and appreciation of capacity constrained strategies aligns perfectly with our heritage.
“This transaction will not affect our investment philosophy or process, and we look forward to devoting all our attention to managing portfolios and serving clients from our current location in Norwalk, CT.”
THB has clients in the US and in Europe and Australia through its long-standing partnerships with Carolon Capital and Brookvine.
The deal is expected to provide additional offshore distribution relationships and opportunities to Victory Capital.
Victory Capital expects the purchase to add to its earnings immediately.
In September this year, the company bought a 15% stake in Alderwood Partners, an investment advisory business headquartered in London.