North Square Investments, a Chicago multi-boutique manager with a range of equity product offerings, has agreed to acquire a majority interest in the business of C.S. McKee L.P., a full-service institutional money manager, headquartered in Pittsburgh.
With more $8 billion of assets under management, McKee specializes in taxable fixed-income strategies that focus on providing institutional investors with consistent risk-adjusted performance. McKee also offers a variety of other investment strategies including domestic and international equity and balanced portfolios.
The acquisition is subject to normal and ordinary closing conditions, with closing expected to occur in the first quarter of 2020.
“We are thrilled to become part of the North Square family, which is strongly supported by their private-equity partner, Estancia Capital Partners,” McKee President Mark Gensheimer said, in a statement. Adding, “this transaction allows us to realize our strategic objective of finding a partner who is equally committed to better serving our constituents by expanding product development and availability of our portfolios through new distribution channels as well as continued growth and diversification of the business.”
North Square will provide product development, distribution and administrative support to McKee, which will continue to operate as an independent affiliate based in Pittsburgh. As part of the transaction, equity ownership will be expanded to include 100 percent of McKee employees.
North Square is being advised by Sandler O’Neill + Partners L.P. and Kirkland & Ellis LLP.
At this time, North Square’s multi-boutique platform includes a mutual fund family and ownership interests in the distinctly branded firms of C.S. McKee and Oak Ridge Investments with collective assets under management and advisement of over $10 billion on a proforma basis.