According to latest reports, Fortress Investment Group has settled for the sale of Logan Circle Partners, to the New York-based Metlife (NYSE:MET) for around $250 million.
The Center City asset manager, Logan Circle was formed in 2007 after Chairman and CEO Jude Driscoll left Delaware Investments and soon after that year negotiated with his former company to bring 35 employees from Delaware’s taxable fixed-income group and related institutional separate account business. On top of the employee defections. Logan Circle was helped by Pennsylvania Public School Employees Retirement System moving management of what was then an $800 million in local core-plus fixed income from Delaware.
The company’s name is derived from its HQs at 1717 Arch. It opened for business with more than $13 billion in institutional client assets under management as a joint venture owned by Logan Circle employees and Guggenheim Partners.
In the meantime MetLife (NYSE: MET), one of the largest insurers on earth, unveiled it plans to complete the agreement later this quarter. The company also said the Logan Circle agreement will give the firm $560 billion in total assets under management, of which more than $140 billion would be managed on behalf of third parties.
Metlife (MET) Chairman, President and CEO Steven A. Kandarian said in a statement that “this business deal is directly aligned with company’s enterprise strategy to deliver value by focusing on businesses with strong risk-adjusted internal rates of returns, low capital intensity and sustainable cash flows.”
Moreover Mr. Kandarian also added that Logan Circle Partners will bring a gifted team with a track record of brilliance and a reputable consultant distribution platform to our Investment Management business.