Based in Houston, Salient is an asset management firm with significant footprint in the wirehouse sector.
The latest deal, which was reached in May this year, includes an upfront payment of $35m in cash on conclusion of the agreement.
It also covers deferred payments of both cash and equity of up to $25m over a few years, depending on revenue retention and growth targets.
The deal has increased Westwood’s total assets under management by 33% to $16.3bn.
It has brought specialisation and scale throughout the firm’s multi-asset, real assets and alternative portfolios.
Westwood’s capabilities in the fields of energy infrastructure, tactical equity, real estate, and distribution have also increased.
In addition, Westwood has bought an undisclosed minority stake in San Francisco-based Broadmark Asset Management from Salient, as part of the deal.
Even after the deal, the existing portfolio management and distribution teams of Westwood, Salient and Broadmark will continue to carry out their operations.
Westwood CEO Brian O. Casey said: “This highly accretive acquisition strengthens Westwood’s business and provides many growth opportunities going forward.
“Our enhanced investment capabilities will help our investors achieve their objectives, including seeking alternative sources of income, gaining inflation protection by investing in real assets, achieving low correlations with traditional asset classes and mitigating overall volatility.
“Incorporating these strategies into our product suite allows us to capitalize on the substantial investments we have made over the last several years to strengthen our distribution platform.”
Westwood currently has operations in the independent broker-dealer, registered investment advisor (RIA) and institutional sectors.