Lazard Ltd. (NYSE: LAZ) acquired the management vehicles of The Edgewater Funds to establish a Chicago-based middle market private equity management business.
On July 15, 2009 (the “Closing Date”) Lazard Ltd. (“Lazard”) (NYSE: LAZ) acquired the management vehicles of The Edgewater Funds (“Edgewater”) to establish a Chicago-based middle market private equity management business. The transaction was structured as a purchase by Lazard of interests in a holding company that owns interests in the general partner and management company entities of the current Edgewater private equity funds. On the Closing Date, the sellers will receive a cash payment and an initial stock payment of 1,142,857 shares of Lazard’s Class A common stock (“Lazard Stock”). The initial stock transfer is subject to transfer restrictions and forfeiture provisions that will lapse on July 15, 2011 if the next Edgewater fund achieves certain performance thresholds. Additional stock payments of up to 1,142,857 shares of Lazard Stock will be payable over time, subject to certain performance thresholds. Edgewater will continue to be managed by its current leadership team who retain a substantial economic interest in the business. Edgewater primarily manages two middle market funds, with approximately $700 million of assets under management. The funds focus on buyout and growth equity investments in middle market companies. Lazard is a financial advisory and asset management firm with offices and operations spanning the globe. Lazard advises on mergers and acquisitions, restructuring, capital raising and asset management services.
For more information, go to
(Lazard Press Release and Form 8-K).