BOSTON - (Business Wire) Affiliated Managers Group, Inc. (NYSE: AMG), a diversified asset management company, has acquired a five percent stake in Value Partners Group Limited from a group of senior management owners, including its Chairman and Chief Investment Officer Cheah Cheng Hye, who is also a co-founder of the firm. In connection with the investment, AMG and Value Partners have agreed to work together on joint product development and strategic distribution opportunities, which extends AMG’s global presence into the Asian marketplace. Founded in 1993, Value Partners, which is listed on the Hong Kong Stock Exchange, is one of the largest independent boutique asset management firms in Asia, with approximately US$4.6 billion in assets under management as of September 30, 2009. The firm is well known for its disciplined, value-based investment approach, focusing on under-followed, under-researched stocks. Value Partners follows a traditional Graham and Dodd value investing approach, placing a strong emphasis on intensive research and bottom-up stock picking. One of the pioneers of value investing in Asia, Mr. Cheah was named one of the 25 Most Influential People in Asset Management in Asia by AsianInvestor in May 2009. Value Partners has a strong and experienced senior investment team whose coverage of Asian equities is regarded as one of the most comprehensive in the industry. The firm, which employs 78 people, including 22 investment professionals, manages a wide range of investment products for institutions, individuals and corporate investors.
In addition to its long history of outstanding investment performance in its core value strategies, Value Partners continues to identify opportunities to further expand the scope of its business as well as the range of its product offerings. Most recently, Value Partners entered into a joint venture agreement with Ping An Insurance (Group) of China, which is also an equity investor in the firm, to launch exchange-traded funds to meet rapidly growing customer demand in China, Hong Kong and other Southeast Asian markets.
“Our investment in Value Partners marks our entry into the Greater China region, and we are very pleased to partner with one of the largest and most respected independent boutique asset management firms. With an outstanding reputation for delivering superior returns for its clients, Value Partners has generated impressive growth since its inception through a disciplined, deep value investment strategy, as well as key business decisions that have expanded the breadth and scale of its product offerings,” stated Sean M. Healey, AMG’s President and Chief Executive Officer. “We have identified a number of synergies in product development and distribution, and will work together to develop strategic initiatives that enhance our respective businesses. We are very excited to partner with Mr. Cheah and his team, and we look forward to a strong and growing partnership.”
“We are impressed by AMG’s partnership approach, as well as their expertise in product distribution and development on a global scale,” stated Mr. Cheah. “Given its partnerships with a number of the industry’s leading boutique investment management firms, including highly regarded value managers, we see a broad range of exciting opportunities to leverage both our core competencies and complementary product offerings on a number of joint initiatives.”
As part of its global distribution platform, AMG expects to open a sales and marketing office in Hong Kong in 2010. In addition to its U.S. distribution capabilities, AMG currently has dedicated sales and marketing offices in London, serving investors in Europe and the Middle East, as well as Sydney, serving institutional investors in Australia and New Zealand.
About Affiliated Managers Group, Inc.
Affiliated Managers Group is a diversified asset management company with approximately $200 billion in assets at September 30, 2009. AMG’s strategy is to generate growth through the internal growth of its existing Affiliates, as well as through investments in new Affiliates. Through AMG’s innovative partnership approach, individual members of each Affiliate’s management team retain or receive significant direct equity ownership in their firm while maintaining operating autonomy. AMG provides centralized assistance to its Affiliates in strategic matters, marketing, distribution, product development and operations.
Certain matters discussed in this press release may constitute forward-looking statements within the meaning of the federal securities laws. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including changes in the securities or financial markets or in general economic conditions, the availability of equity and debt financing, competition for acquisitions of interests in investment management firms, the ability to close pending investments, the investment performance of our Affiliates and their ability to effectively market their investment strategies, and other risks detailed from time to time in AMG’s filings with the Securities and Exchange Commission. Reference is hereby made to the “Cautionary Statements” set forth in the Company’s Form 10-K for the year ended December 31, 2008.
AMG routinely posts information that may be significant for investors in the Investor Information section of its website, and encourages investors to consult that section regularly. For additional information, please visit www.amg.com.
Affiliated Managers Group, Inc.
Investor Relations:
Alexandra Lynn
(617) 747-3300
ir@amg.com
or
Media Relations:
Laura O’Brien
(617) 747-3300
pr@amg.com
