Clal Finance Batucha Ltd. (TASE:CLFN) Delaware registered subsidiary Titanium Asset Management Corp. (AIM:TAM) has made three acquisitions. The company has acquired the entire issued and outstanding capital stock of Wood Asset Management Inc. and Sovereign Holdings LLC, as well as certain assets from Siesta Key Capital LLC. Clal Finance owns 44% of Titanium.
Titanium will pay $31.5 million for Wood Asset Management, which manages $1.5 billion in assets; $5.5 million for Sovereign Holdings, which manages $1.83 billion in fixed-income assets; and $500,000 for Siesta Key Capital at 0.5% of $100 million of the assets being acquired. The three companies manage about $3.5 billion in assets altogether, which will be added to the NIS 40 billion in assets managed by Clal Finance.
Sovereign, based in Charlotte, North Carolina, manages fixed income investments for a number of retail and institutional clients directly and through WRAP programs. The companies clients include high net-worth individuals, municipalities, companies, brokerage firms and charities.
Wood Asset Management, based in Sarasota, Florida, manages equity, balanced, fixed income, and convertible investments for a number of retail and institutional clients both directly and through WRAP programs. The company’s clients include high net-worth individuals, foundations, pension plans, and brokerage firms.
Siesta Key Capital, also based in Sarasota, Florida, manages equity portfolios for pension plans, charities, corporations and high net worth individuals. $100 million of the company’s $150 million in assets will be transferred to Titanium.
Titanium Asset Management raised $120 million in its IPO in June, including $60.6 million from Clal Finance, through its purchase of 10.1 million units. Wellington Management Company LLP has invested $18 million in the company.
Published by Globes [online], Israel business news - www.globes.co.il - on September 6, 2007
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