BOSTON--(BUSINESS WIRE)--Apr. 18, 2012--
Affiliated Managers Group, Inc. (NYSE: AMG), a global asset management
company, has entered into a definitive agreement to acquire a majority
equity interest in Yacktman Asset Management Co. (“Yacktman”). After the
closing of the transaction, the management partners of Yacktman will
continue to hold a substantial portion of the equity of the business and
direct its day-to-day operations.
With approximately $17 billion of assets under management, Yacktman is a
highly-regarded investment manager specializing in large-cap equities
through a unique, value-oriented approach. The firm seeks to make
investments in high-quality businesses at low valuations with the goal
of generating outperformance over the long term. The firm’s two flagship
mutual funds, The Yacktman Fund and The Yacktman Focused Fund, are
ranked in the top decile in Morningstar’s Large Value category for the
trailing 3-, 5- and 10-year periods, with five-star ratings assigned to
both funds. In addition, Yacktman serves a number of institutional
investors and high-net-worth individuals through separately managed
accounts and sub-advisory mandates.
The firm was founded in 1992 by Donald Yacktman, who was nominated by
Morningstar as Fund Manager of the Decade in 2009. Mr. Yacktman and
Stephen Yacktman also were named as finalists for Morningstar’s
Domestic-Stock Manager of the Year award in 2011.
“We are very pleased to partner with Yacktman Asset Management, an
outstanding firm with a highly attractive, concentrated alpha investment
philosophy which has generated outperformance across all stages of the
market cycle,” said Sean M. Healey, AMG’s Chairman and Chief Executive
Officer. “Over the past two decades, Yacktman has delivered exceptional
investment performance relative to both peers and benchmarks, as well as
strong organic growth, including the challenging period for retail
equity managers since 2008. With a remarkable long-term track record of
outperformance, Yacktman is positioned for continued success globally.
We look forward to working with our newest Affiliate on a range of
strategic initiatives.”
“Given AMG’s long history of successful partnerships with boutique
investment management firms, we are excited to join the Company’s
impressive group of Affiliates,” said Donald Yacktman. “AMG’s innovative
partnership approach allows us to preserve our firm’s entrepreneurial
culture and investment autonomy while accessing the breadth of resources
of a leading global asset management company. Our partnership with AMG
enables us to address long-term succession planning needs through an
equity incentive program which provides liquidity to the current
partners and to future generations, fosters stability within the
organization, and, most importantly, offers significant support to
continue the business momentum we have established.”
As part of the transaction, all of Yacktman’s senior professionals have
agreed to long-term commitments with the firm. In addition, the Yacktman
funds will become part of the Managers family of funds. The terms of the
transaction were not disclosed.
About Affiliated Managers Group
AMG is a global asset management company with equity investments in
leading boutique investment management firms. AMG’s innovative
partnership approach allows each Affiliate’s management team to own
significant equity in their firm while maintaining operational autonomy.
AMG’s strategy is to generate growth through the internal growth of
existing Affiliates, as well as through investments in new Affiliates.
In addition, AMG provides centralized assistance to its Affiliates in
strategic matters, marketing, distribution, product development and
operations. As of December 31, 2011, the aggregate assets under
management of AMG’s Affiliates were approximately $352 billion (pro
forma for pending investments), in more than 350 investment products
across a broad range of investment styles, asset classes and
distribution channels. For more information, please visit the Company’s
website at www.amg.com.
About Yacktman Asset Management
Yacktman Asset Management Co. serves as an investment adviser to The
Yacktman Fund and The Yacktman Focused Fund, as well as separate
accounts for taxable and tax-exempt organizations. The firm follows a
disciplined investment strategy of buying growth businesses with
shareholder-oriented management at what it believes to be low prices,
delivering consistent long-term, risk-adjusted results to value-oriented
investors since 1992. In connection with the transaction, Goldman, Sachs
& Co. served as financial advisor to Yacktman, while Fried, Frank,
Harris, Shriver & Jacobson LLP served as legal counsel to the firm. For
more information, please visit Yacktman’s website at www.yacktman.com.
Certain matters discussed in this press release may constitute
forward-looking statements within the meaning of the federal securities
laws. Actual results and the timing of certain events could differ
materially from those projected in or contemplated by the
forward-looking statements due to a number of factors, including changes
in the securities or financial markets or in general economic
conditions, the availability of equity and debt financing, competition
for acquisitions of interests in investment management firms, the
ability to close pending investments, the investment performance of our
Affiliates and their ability to effectively market their investment
strategies, and other risks detailed from time to time in AMG’s filings
with the SEC. Reference is hereby made to the “Risk Factors” set forth
in AMG’s Form 10-K for the year ended December 31, 2011.
AMG routinely posts information that may be significant for investors
in the Investor Information section of its website, and encourages
investors to consult that section regularly. For additional information,
please visit www.amg.com.
Source: Affiliated Managers Group, Inc.
Affiliated Managers Group, Inc.
Investor Relations:
Alexandra
Lynn, 617-747-3300
ir@amg.com
or
Media
Relations:
Laura O’Brien, 617-747-3300
pr@amg.com