BrightSphere Investment Group

Last updated
BrightSphere Investment Group Inc.
Formerly
  • Old Mutual Asset Management (2000-2018)
  • United Asset Management (1980-2000)
Company type Public
Industry Financial services
Founded1980;44 years ago (1980)
FounderNorton Reamer
Headquarters
200 State Street, Boston, Massachusetts
,
U.S.
Key people
Suren Rana (CEO)
RevenueDecrease2.svg US$417.2 million (2022)
Increase2.svg US$167.9 million (2022)
Decrease2.svg US$100.6 million (2022)
Total assets Decrease2.svg US$518.7 million (2022)
Total equity Decrease2.svg US$−21.6 million (2022)
Subsidiaries Acadian Asset Management
Website www.bsig.com

BrightSphere Investment Group Inc. (previously United Asset Management and Old Mutual Asset Management) is an American holding company that is headquartered in Boston, Massachusetts.

Contents

Background

The company was founded in 1980 as United Asset Management (UAM) by Norton Reamer, who previously had served as the CEO of Putnam Investments. [1] [2] The company was the first major firm with a business model that consisted of purchasing a number of money management firms. [3]

UAM's strategy was to purchase a variety of investment management firms, and then keep a portion of the firms' profits. They allowed each company to operate autonomously and did not close poorly performing units. More than half of UAM's assets were retirement funds. [1] They used stock and cash to fund its acquisitions. They used First Boston as an investment bank to raise money for takeovers, using equity rather than convertible bonds. [4] Some investors viewed the idea of purchasing stock in UAM as akin to an option on the New York Stock Exchange, where it was listed in 1987. [2] [5]

In 1992, UAM acquired Acadian Asset Management. [6]

In September 2000, UAM was purchased by Old Mutual for US$1.46 billion in cash. Old Mutual also assumed UAM net debt of around US$769 million. [2] The company was then renamed Old Mutual Asset Management (OMAN). [7]

In June 2016, OMAN acquired 60% of Landmark Partners for $240 million. [8]

On October 15, 2014, OMAN held an initial public offering on the New York Stock Exchange. [9]

In March 2018, the company rebranded itself as Brightsphere Investment Group. [10]

In November 2018, Paulson & Co. acquired a 25% stake of Brightsphere Investment Group from HNA Group which acquired it in 2017. [11]

In June 2020, Brightsphere Investment Group became a member of the S&P 600. [12]

In 2021, the company sold its interest in most of its holding companies. On June 2, Landmark Partners was sold to Ares Management. On July 19, the Investors Counselors of Maryland was sold to William Blair & Company. On July 22, Thompson, Siegel & Walmsley was sold to Pendal Group. On August 31, Campbell Global was sold to JPMorgan Chase. [13] [14] [15]

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References

  1. 1 2 Weintraub, Arlene (March 15, 1998). "United Asset Hopes Its First-Aid Plan Will Stop the Bleeding". The New York Times. Retrieved November 22, 2011.
  2. 1 2 3 Thakray, Rachelle (June 20, 2000). "Old Mutual extends US reach". The Independent. Archived from the original on November 4, 2012. Retrieved 18 April 2011.
  3. ↑ Campbell, John (Spring 1997). "Inside the Market for Private Businesses". Regional Review. 7 (2).
  4. ↑ Williamson, John Peter (1988), The Investment banking handbook , John Wiley and Sons, pp.  122–123, ISBN   978-0-471-81562-4
  5. ↑ Wayne, Leslie (January 17, 1994). "United Asset: Little-Known Financial Giant". The New York Times. Retrieved November 22, 2011.
  6. ↑ "United Asset Management reports earnings for Qtr to Sept 30 (Published 1992)". The New York Times. 1992-11-06. Retrieved 2023-08-21.
  7. ↑ Kallifatides, Markus; Nachemson-Ekwall, Sophie; Sjöstrand, Sven-Erik (2010), Corporate governance in modern financial capitalism: Old Mutual's hostile takeover of Skandia, Edward Elgar Publishing, p. 149, ISBN   978-1-84844-684-7
  8. ↑ "Old Mutual U.S. Unit Buys $240 Million Landmark Partners Stake". Bloomberg.com. 2016-06-14. Retrieved 2023-08-21.
  9. ↑ Bray, Chad (2014-10-09). "Old Mutual's Asset Management Arm I.P.O. Priced Low at $14 a Share". DealBook. Retrieved 2023-08-21.
  10. ↑ "BRIEF-Omam Plans To Rebrand As Brightsphere Investment Group PLC". Reuters. 2018-03-02. Retrieved 2020-02-12.
  11. ↑ Levy, Rachael; Steinberg, Julie (2018-11-19). "Paulson Agrees to Buy Stake in Asset Manager From HNA". Wall Street Journal. ISSN   0099-9660 . Retrieved 2023-08-21.
  12. ↑ "S&P Dow Jones Indices Announces Tyler Technologies, Bio-Rad Laboratories and Teledyne Technologies Set to Join S&P 500; Others to Join S&P MidCap 400 and S&P SmallCap 600". News Release Archive. Retrieved 2023-08-21.
  13. ↑ "Ares Management Corporation Completes Acquisition of Landmark Partners". www.businesswire.com. 2021-06-02. Retrieved 2023-08-21.
  14. ↑ "BrightSphere Investment Group Inc. Completes Sale of Affiliates Thompson, Siegel & Walmsley, LLC and Investment Counselors of Maryland, LLC". www.businesswire.com. 2021-07-22. Retrieved 2023-08-21.
  15. ↑ Management, J. P. Morgan Asset. "J.P. Morgan Asset Management Acquires Campbell Global, a Leading Player in Forest Management and Timberland Investing". www.prnewswire.com (Press release). Retrieved 2023-08-21.
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