Principal Global Takes Majority Stake in Liongate

Mar 4 2013 | 9:25am ET

Principal Global Investors will acquire a 55% stake in London and New York-based alternative investment boutique Liongate Capital Management.

The value of the deal was not made public, but according to a press release, the Liongate partners—who will retain a 45% stake in the firm—will reinvest “a significant share of their consideration” into existing Liongate strategies.

Principal Global, a member of the Principal Financial Group, manages $281.5 billion, primarily for institutional clients. Liongate, founded in 2003 and with $2.1 billion under management, creates and manages portfolios of hedge funds.

“With its strong reputation and focused investment expertise, Liongate is a welcome addition to our multi-boutique investment management structure,” said Jim McCaughan, chief executive officer of Principal Global Investors, in a statement. “The partnership will enhance our capabilities in alternative investments, which is an area where client demand continues to grow. Very few institutional investment firms have this level of expertise in hedge fund investing.” 

Liongate, for its part, will get access to the larger group's distribution networks, infrastructure and product-development expertise.

The transaction is expected to close in Q2 2013, pending regulatory approval. Sandler O'Neill + Partners advised The Principal on the transaction and Fenchurch Advisory Partners advised Liongate


In Depth

Q&A: Quad Advisors’ Borish Is Looking For Real Traders, Not Index Huggers

Aug 20 2014 | 1:43pm ET

Peter Borish, who served as founding partner and director of research at Tudor Investment...

Lifestyle

Viking Manager In Rent Dispute

Aug 11 2014 | 4:14am ET

A hedge fund manager is demanding most of his money back from his former landlord...

Guest Contributor

Majority Of Inflows Go To Brand Name Hedge Funds

Aug 12 2014 | 9:00am ET

Since the market correction of 2008, a vast majority of hedge fund net asset flows...

 

Editor's Note

 

Futures Magazine

PREVIEW July/August 2014 Cover

Inside Futures' 500th Issue

The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.

The Alpha Pages

TAP July/August 2014 Cover

Real talk on alternative investments, business & finance

The Alpha Pages Editor's Note