PRINT THIS PAGE Pharos, TPG to acquire American Beacon Advisors for $480m17/04/2008. Source: AltAssets. 
Pharos Capital Group and TPG Capital have agreed to acquire American Beacon Advisors, the asset management subsidiary of AMR Corporation, the parent company of American Airlines. The firms have established a new acquisition vehicle, Lighthouse Holdings, to acquire the company for approximately $480m. AMR will retain a minority equity stake in the business. American Beacon was established in 1987. The company provides cash management, investment advisory and investment management services for AMR's pension, health and welfare plans. American Beacon has assets under management of $65bn. In 2007, it recorded revenues of $101m, according to a statement.
Kneeland Youngblood, co-founder and managing partner of Pharos Capital, said, 'Pharos and TPG believe that the asset management business is a robust sector, in which American Beacon is a strong leader, with an outstanding, 20-year track record of performance in multiple asset classes across a variety of investment cycles.
'We look forward to working with the American Beacon team and TPG to fully leverage its strengths into industry-leading growth as well as continuing its superior customer service and performance. And, we welcome the opportunity to work with AMR not only as a significant client, but also as a long-term partner,' he added.
Based in Dallas and Nashville, Pharos Capital Group invests through three private equity funds, managing some $500m. The firm targets later stage equity funding for internal growth, acquisitions, MBOS and recapitalisations, with particular focus on the healthcare, business and applied technology sectors.
Last month, TPG Capital, the buy-out group of private investment firm TPG, agreed to acquire a 50 per cent stake in Russian pharmaceutical distributor SIA International in a deal worth approximately $800m.
Copyright © 2008 AltAssets
|
