MetLife Investment Management to acquire PineBridge Investments

You are viewing: MetLife Investment Management to acquire PineBridge Investments

MetLife Investment Management (MIM), the institutional asset management business of MetLife, Inc., on Monday announced it reached a definitive agreement to acquire PineBridge Investments (PineBridge) from the Pacific Century Group.

See more : SoftBank pledges $100bn AI investment in the US

The transaction is comprised of $800 million in cash at closing, $200 million subject to achieving certain 2025 financial metrics and $200 million subject to a multi-year earnout. The acquisition excludes PineBridge’s private equity funds group business and its joint venture in China.

PineBridge will represent the tactical advancement of MetLife’s newly rolled out strategy by adding significant scale to MIM while broadening the firm’s global offerings and distribution reach.

“The acquisition of PineBridge Investments furthers our ambition to accelerate growth in asset management,” MetLife President and Chief Executive Officer Michel Khalaf said. “MetLife Investment Management is on a good path to grow its business organically, supplemented by targeted, complementary inorganic growth.”

See more : Joining Forces: 2024’s Hospice Investment, Consolidation Trends

“This transaction will add substantially to MIM’s already strong franchise by expanding our public and private credit offerings, including a robust leveraged finance platform, as well as extending our global capabilities,” MetLife Chief Financial Officer and Head of MetLife Investment Management John McCallion said. “We are excited about these new capabilities and the additional ways MIM will be able to partner with clients.”

The acquisition will meaningfully expand MIM’s global footprint with more than half of the client assets being acquired in the transaction held by investors outside of the U.S., and about one-third of the assets held in Asia.

The acquisition of PineBridge will also bring to MIM a collateralized loan obligation platform, a multi-asset business, a global suite of equity strategies, as well as direct lending and European real estate businesses – all of which are complementary to the firm’s existing capabilities.

This transaction is targeted to close in 2025, subject to customary closing conditions, including regulatory approvals. BofA Securities is serving as financial advisor to MIM, and A&O Shearman is serving as its legal counsel. J.P. Morgan and Evercore are serving as financial advisors to PineBridge, and Davis, Polk & Wardwell is serving as its legal counsel.