Victory Capital Holdings, Inc. completed the acquisition of WestEnd Advisors, LLC from Kudu Investment Management LLC and others for approximately $800 million.
December 30, 2021
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Victory Capital Holdings, Inc. (NasdaqGS:VCTR) entered into a definitive agreement to acquire WestEnd Advisors, LLC from Kudu Investment Management LLC and others for $800 million on November 4, 2021. Under terms of the purchase agreement, Victory Capital will acquire WestEnd for an upfront payment upon closing of $480 million with $320 million deferred earnout payments over a number of years upon the satisfaction of certain revenue growth targets. BofA Securities has provided committed financing in connection with the acquisition. The closing of transaction is subject to customary approvals including antitrust approvals, conditions and consents. The transaction is expected to close before the end of this year and be immediately accretive to earnings. BofA Securities, Inc. acted as financial advisor and David Boston, Danielle Scalzo, Geri Anne McEvoy, Justin Browder and Daniel Durschlag of Willkie Farr & Gallagher LLP acted as legal advisor to Victory Capital Holdings, Inc. PJT Partners, LP acted as financial advisor and Chris Frieden, Ian Calhoun, Nathan Tyre, Jack Stephens, Brian Harvel, Trenton Hafley, Brett Coburn, Adam Biegel, Blake MacKay and David Baum of Alston & Bird LLP acted as legal advisors to WestEnd Advisors, LLC and Kudu Investment.
Victory Capital Holdings, Inc. (NasdaqGS:VCTR) completed the acquisition of WestEnd Advisors, LLC from Kudu Investment Management LLC and others for approximately $800 million on December 31, 2021. As per the terms of the transaction, Victory Capital Holdings paid $475.8 million in cash at closing and a maximum of $320 million ($80.0 million per year) in earn-out payments. As as part of acquisition, WestEnd will become Victory Capital's 12th Investment Franchise and represents a new dimension of growth and diversification.
Victory Capital Holdings, Inc. is a diversified global asset management firm. The Company provides specialized investment strategies to institutions, intermediaries, retirement platforms and individual investors. With 11 autonomous investment franchises and a solutions platform, the Company offers an array of investment products, including actively and passively managed mutual funds, rules-based and active exchange traded funds (ETFs), institutional separate accounts, variable insurance products (VIPs), alternative investments, private closed end funds, and a 529 Education Savings Plan. Its strategies are also offered through third-party investment products, including mutual funds, third-party ETF model strategies, retail separately managed accounts and unified managed accounts. Its franchises and our solutions platform collectively manage a diversified set of 118 investment strategies. The Company's investment adviser is Victory Capital Management Inc.
Victory Capital Holdings, Inc. completed the acquisition of WestEnd Advisors, LLC from Kudu Investment Management LLC and others for approximately $800 million.