NorthStar Asset Management Group (NSAM) has agreed to purchase approximately 85% stake in Townsend Group , a provider of investment management and advisory services focused on real assets, for $380m from private equity firm GTCR.
Upon completion of the deal, Townsend’s management team will own the rest of the business and will continue to manage day-to-day operations.
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NorthStar said it has received a commitment for $500m in financing that will be used to fund the transaction and for general corporate purposes.
The acquisition is scheduled to complete in early 2016.
NSAM executive chairman David Hamamoto said: "We are extremely pleased with this strategic opportunity to expand and accelerate our asset management capabilities, both in the United States and internationally, with the acquisition of one of the world’s premier institutional real estate asset management platforms."
NSAM CEO Al Tylis said: "Townsend’s business model will be highly complementary to NSAM and, beyond the immediate expected CAD accretion to NSAM, we look forward to strong growth from this partnership and will seek to leverage each other’s platforms to further create substantial value for NSAM shareholders and Townsend clients."
