Summary
Affiliated Managers Group, Inc. (AMG) announced on July 31, 2001, that it has entered into a definitive agreement to acquire a majority equity interest in Welch & Forbes, Inc. and Welch & Forbes (a Partnership). Welch & Forbes is a well-established Boston-based investment manager founded in 1838, managing over $4.2 billion in assets. The firm specializes in customized investment advisory and fiduciary services for personal trusts, high net worth families, and charitable foundations, employing strategies that include growth equity, fixed income, and venture capital investments. Under the terms of the agreement, AMG will acquire a 60% stake in Welch & Forbes, with the remaining 40% to be held by Welch & Forbes' principals. The transaction is expected to maintain Welch & Forbes' operational structure, with its business remaining unchanged and current management continuing to lead day-to-day operations. Senior principals will also enter into long-term employment agreements, ensuring continuity and expertise. The closing of the transaction is contingent upon receiving customary approvals, and the financial terms were not disclosed.
Key Highlights
- 1AMG to acquire a majority 60% equity interest in Welch & Forbes.
- 2Welch & Forbes is an established investment manager with over $4.2 billion in assets under management.
- 3Founded in 1838, Welch & Forbes serves high net worth individuals, families, and foundations.
- 4Transaction structure ensures operational continuity with current management remaining in place.
- 5Senior principals of Welch & Forbes will sign long-term employment agreements.
- 6The deal is expected to close after receiving customary approvals.
- 7Specific financial terms of the acquisition were not disclosed.