North Square Investments Acquires Foundry Partners: A Strategic Move in the Investment Landscape
November 27, 2024, 9:50 pm
Location: United States, Illinois, Chicago
Employees: 5001-10000
Founded date: 1909
Location: United States, Illinois, Chicago
Employees: 51-200
Founded date: 2018
In a significant shift within the investment management sector, North Square Investments has announced its agreement to acquire Foundry Partners, LLC. This acquisition, made through North Square's majority-owned affiliate, CS McKee, is poised to reshape the landscape of value-oriented investment advisory services.
Founded in 2012, Foundry Partners has carved a niche as a reputable investment adviser based in Cleveland, Ohio. With a focus on value-oriented equity strategies, the firm has built a solid reputation among institutional clients. The merger with CS McKee, a well-established institutional investment management firm, promises to enhance both entities' capabilities and offerings.
The acquisition is expected to add over $2.3 billion to CS McKee's assets under management, a substantial boost that reflects the growing trend of consolidation in the financial services industry. This move is not just about numbers; it’s about synergy. Foundry Partners’ investment philosophy aligns closely with CS McKee’s approach, creating a harmonious blend of expertise and resources.
Mark Goodwin, Co-Founder and CEO of North Square Investments, emphasized the complementary nature of the two firms. Foundry Partners brings a wealth of experience and a proven track record in equity management. This merger is expected to be accretive to CS McKee’s growth objectives, enhancing its service offerings to clients.
Timothy Ford, President and CEO of Foundry Partners, expressed enthusiasm about the merger. He highlighted the continuity it offers to clients, assuring them that there will be no changes to the investment processes or the skilled team that has driven Foundry’s success. This reassurance is crucial in maintaining client trust during transitions, a common concern in the world of finance.
The deal is set to close in the first quarter of 2025, pending customary closing conditions. This timeline indicates a swift integration process, which is often a critical factor in the success of mergers and acquisitions. The quicker the integration, the less disruption for clients and employees alike.
North Square Investments, founded in 2018, has quickly established itself as a multi-boutique investment firm. With a focus on delivering differentiated active investment strategies, it has attracted attention in a crowded market. The acquisition of Foundry Partners marks North Square's third transaction in 2024, signaling its aggressive growth strategy.
CS McKee, with roots dating back to 1931, has a long history of managing assets for a diverse range of clients, including pension funds, endowments, and foundations. The firm’s experience in taxable fixed income, equity, and multi-asset portfolios complements Foundry’s equity strategies, creating a more robust investment platform.
The merger also highlights a trend of returning to roots. Timothy Ford’s first job in the investment industry was with CS McKee, making this acquisition a full-circle moment. Such personal connections can foster a collaborative culture, enhancing the integration process.
Legal advisors played a crucial role in this transaction. North Square and CS McKee sought counsel from Kirkland & Ellis, while Foundry Partners turned to Buchanan Ingersoll & Rooney PC. This legal backing ensures that the acquisition adheres to regulatory standards, a vital aspect in the financial sector.
The investment landscape is ever-evolving. Firms are increasingly seeking to enhance their capabilities through strategic acquisitions. This trend reflects a broader shift towards consolidation, driven by the need for scale and diversification in a competitive market.
North Square’s commitment to sourcing and delivering institutional-quality investment managers positions it well for future growth. By integrating Foundry Partners, it not only expands its asset base but also enhances its service offerings to financial intermediaries, including broker-dealers and wealth management advisors.
The combined entity will boast over $15 billion in assets under management post-acquisition. This scale provides a competitive edge, allowing for greater investment opportunities and improved risk-adjusted returns for clients.
In conclusion, the acquisition of Foundry Partners by North Square Investments is a strategic move that promises to reshape the investment management landscape. With a focus on continuity, expertise, and growth, this merger is set to create a formidable player in the industry. As the financial world continues to evolve, such strategic partnerships will be key to navigating the complexities of investment management. The future looks bright for both firms as they embark on this new chapter together.
Founded in 2012, Foundry Partners has carved a niche as a reputable investment adviser based in Cleveland, Ohio. With a focus on value-oriented equity strategies, the firm has built a solid reputation among institutional clients. The merger with CS McKee, a well-established institutional investment management firm, promises to enhance both entities' capabilities and offerings.
The acquisition is expected to add over $2.3 billion to CS McKee's assets under management, a substantial boost that reflects the growing trend of consolidation in the financial services industry. This move is not just about numbers; it’s about synergy. Foundry Partners’ investment philosophy aligns closely with CS McKee’s approach, creating a harmonious blend of expertise and resources.
Mark Goodwin, Co-Founder and CEO of North Square Investments, emphasized the complementary nature of the two firms. Foundry Partners brings a wealth of experience and a proven track record in equity management. This merger is expected to be accretive to CS McKee’s growth objectives, enhancing its service offerings to clients.
Timothy Ford, President and CEO of Foundry Partners, expressed enthusiasm about the merger. He highlighted the continuity it offers to clients, assuring them that there will be no changes to the investment processes or the skilled team that has driven Foundry’s success. This reassurance is crucial in maintaining client trust during transitions, a common concern in the world of finance.
The deal is set to close in the first quarter of 2025, pending customary closing conditions. This timeline indicates a swift integration process, which is often a critical factor in the success of mergers and acquisitions. The quicker the integration, the less disruption for clients and employees alike.
North Square Investments, founded in 2018, has quickly established itself as a multi-boutique investment firm. With a focus on delivering differentiated active investment strategies, it has attracted attention in a crowded market. The acquisition of Foundry Partners marks North Square's third transaction in 2024, signaling its aggressive growth strategy.
CS McKee, with roots dating back to 1931, has a long history of managing assets for a diverse range of clients, including pension funds, endowments, and foundations. The firm’s experience in taxable fixed income, equity, and multi-asset portfolios complements Foundry’s equity strategies, creating a more robust investment platform.
The merger also highlights a trend of returning to roots. Timothy Ford’s first job in the investment industry was with CS McKee, making this acquisition a full-circle moment. Such personal connections can foster a collaborative culture, enhancing the integration process.
Legal advisors played a crucial role in this transaction. North Square and CS McKee sought counsel from Kirkland & Ellis, while Foundry Partners turned to Buchanan Ingersoll & Rooney PC. This legal backing ensures that the acquisition adheres to regulatory standards, a vital aspect in the financial sector.
The investment landscape is ever-evolving. Firms are increasingly seeking to enhance their capabilities through strategic acquisitions. This trend reflects a broader shift towards consolidation, driven by the need for scale and diversification in a competitive market.
North Square’s commitment to sourcing and delivering institutional-quality investment managers positions it well for future growth. By integrating Foundry Partners, it not only expands its asset base but also enhances its service offerings to financial intermediaries, including broker-dealers and wealth management advisors.
The combined entity will boast over $15 billion in assets under management post-acquisition. This scale provides a competitive edge, allowing for greater investment opportunities and improved risk-adjusted returns for clients.
In conclusion, the acquisition of Foundry Partners by North Square Investments is a strategic move that promises to reshape the investment management landscape. With a focus on continuity, expertise, and growth, this merger is set to create a formidable player in the industry. As the financial world continues to evolve, such strategic partnerships will be key to navigating the complexities of investment management. The future looks bright for both firms as they embark on this new chapter together.