The THS investment management business will transfer to GAM following completion of the deal, which is expected to close in Q3 2016. Fenchurch Advisory Partners advised on the deal.
The firm’s investment team – led by the four principals Cato Stonex, Mark Evans, Robert Smithson and Ali Miremadi – will subsequently relocate to the GAM offices in London. Their strategies will be marketed under the GAM brand.
THS, which pursues a thematic, bottom-up and benchmark-agnostic investment approach, manages close to £1.78bn ($2.56bn, €2.26bn) of assets as at 31 March. The firm manages institutional mandates investing in global and European equities, following a long-term, unconstrained and active investment approach based on proprietary company research.
The acquisition is in line with GAM’s strategy to complement its organic growth with targeted acquisitions and team lift-outs, according to the firm. And, it is expected that GAM will help THS to reach out to wealth managers, retail investors and smaller institutional clients going forward.
THS has been the sub-advisor to one of GAM’s oldest global equity strategies, launched in 1983.
Targeting opportunities
THS founding partner Cato Stonex said: “We think this is an excellent deal for our clients. GAM’s global client network and its operational infrastructure will allow us to remain focused on our investment priorities and to build on our strengths.”
GAM group chief executive Alexander Friedman said: “With their proven track-record and deep expertise, the THS team is a great strategic and cultural fit for GAM and we are delighted that they have chosen to join us.”
“We have a multi-decade relationship with the founders and this acquisition is consistent with the growth agenda we set out in 2015, which includes targeting opportunities that substantially deepen our global equity capabilities,” added Friedman.
