Private equity firm TA Associates has agreed to acquire Frank Russell Company’s asset management business, Russell Investments, from London Stock Exchange Group (LSEG) for US$1.15 billion.
Reverence Capital Partners partnered with TA Associates and will make a significant minority investment in Russell Investments.
“We are very pleased to have agreed the proposed sale of Russell Investments to TA Associates and Reverence Capital, both of whom have strong track records investing in the asset management industry,” says Xavier Rolet, CEO of LSEG. “We look forward to working with them and Russell Investments’ management to deliver a smooth transition of ownership.”
Russell Investments has US$266 billion of assets under management and also offers consulting services with US$2.4 trillion of assets under advisory.
The transaction is contingent upon standard regulatory and other required approvals and is expected to be completed in the first half of 2016.