Aviva Investors, the global asset management business of Aviva has agreed to buy 100% of River Road Asset Management (“River Road”), a leading value-oriented US equity manager based in Louisville, Kentucky, with US$3.6 billion assets under management (as at 30 November 2009).
This acquisition supports the expansion of Aviva Investors’ third party institutional asset management business by combining its existing expertise in fixed income in North America with River Road’s equity investment capability.
The management team and the integrity of River Road’s investment process will remain unchanged. River Road will benefit from access to the fixed income capabilities, financial strength and global presence of Aviva Investors.
River Road, which has gross assets of US$6 million* (as at 31 December 2008), will continue to be based in Louisville and will form part of Aviva Investors North America (“AINA”), which is headquartered in Des Moines, Iowa. AINA also has offices in New York, Chicago, Manhattan Beach, California, and Toronto, Canada.
Alain Dromer, chief executive of Aviva Investors, said: “In River Road, we have found a top-quality equity management business with an impressive track record. It has an experienced team, a strong customer focus and a scalable operating model. River Road will contribute significantly to our plans to increase our third-party institutional business and will help us provide our clients with a broader range of investment solutions.”
The transaction is expected to complete by the end of the first quarter.
* US GAAP
