MetLife Investment Management (MIM) has reached a definitive agreement to acquire three investment teams and assets managed by Mesirow, an independent financial services firm.
As part of the move, MIM is acquiring the high yield and bank loan, strategic fixed income and small-cap equity teams and certain related investment products.
Nearly $6 billion of assets managed by the acquired team will transfer to MIM, under the terms of the transaction. The deal remains subject to customary approvals and consents.
The acquisition comes as part of MetLife’s strategy to accelerate growth in asset management and MIM’s efforts to expand offerings and channels, alongside adding higher yield capabilities.
In addition, the firm added that the acquisition will advance the development of its leveraged finance platform, adding opportunistic high yield and bank loan strategies with risk-return profiles that complement MIM’s current offering. This includes the strategies expected to be added through the announced acquisition of PineBridge Investments.
“Building businesses with investment talent is a core belief,” said Jude Driscoll, president at MIM.
“As fundamental, bottom-up investors, these investment teams are excellent strategic fits and bring seasoned talent to MIM. By leveraging the power of the MIM platform, we believe we can accelerate growth in these strategies through investment performance and the breadth of our distribution capabilities.”
The acquired teams consist of around 20 investment professionals, which are anticipated to join MIM on completion of the transaction.
“We are confident that MetLife will deliver scaled resources well suited to these three traditional investment strategies,” said Natalie Brown, chief executive at Mesirow.
“Going forward, Mesirow will continue to focus on growing our alternatives capabilities and core wealth management, fiduciary solutions, and capital markets/investment banking offerings, which have over $300 billion in total assets under supervision.”