Invesco to Buy Morgan Stanley’s Retail Asset Management Business, Including Van Kampen Investments.

October 19, 2009

Invesco and Morgan Stanley have entered into an agreement under which Invesco will acquire  Morgan Stanley’s retail asset management business, including Van Kampen Investments, for $1.5 billion in cash and stock.

In press releases dated October 19, 2009, Invesco Ltd. (“Invesco”) (NYSE: IVZ) and Morgan Stanley (NYSE: MS) announced that they have entered into a definitive agreement under which Invesco will acquire Morgan Stanley’s retail asset management business, including Van Kampen Investments, for $1.5 billion in cash and stock.  Under the deal terms, Morgan Stanley will receive $500 million in cash and 44.1 million in Invesco shares representing approximately $1 billion in Invesco equity.  Upon completion of the transaction, Morgan Stanley will have a 9.4% minority interest in Invesco.  Through this transaction, Invesco will acquire $119 billion in assets under management across a variety of classes including equity, fixed income, alternatives and unit investment trusts.  The deal is expected to close in mid-2010, subject to customary regulatory, client and fund shareholder approvals.

To view the Press Releases, please click here and here.


Categories

Investment Manager M&A, Mutual Fund M&A, Transactions