Investment Management M&A: Preparing for Opportunities in a Recovering Market

Since bottoming out in March 2009, credit markets have reopened and stock markets have staged a dramatic recovery. Global financial institutions that had historically been active acquirers of investment management businesses have moved to sell them as they look to raise capital and focus on core lending or insurance operations. Meanwhile, on Capitol Hill, Congress has begun debating financial reforms that could require banks to sell their hedge fund, private equity, and possibly other asset management businesses. Many industry analysts think these trends create opportunities for investment management M&A and are predicting a surge in deal activity.

In this one hour teleconference (primarily for executives at investment management firms that have not previously been active in the M&A market), partners from Ropes & Gray’s Financial Services group will discuss what you need to know to prepare for these transactions in today’s marketplace.

Specific areas to be discussed include:

• Pricing considerations and how to implement valuation assumptions in the acquisition agreement.
• The unique regulatory requirements applicable to investment management M&A.
• What you can do now to prepare your business for a potential sale.
• Incentive compensation, non-compete agreements, and other retention tools for key professionals.
• How proposed financial reforms could change the way the game is played.