In a statement, BlackRock Inc, the world’s biggest asset manager said, it will acquire investment management services provider Aperio Group LLC from private equity firm Golden Gate Capital and Aperio employees for $1.05 billion.
It expects the cash deal to boost its separately managed account (SMA) assets by around 30% to over $160 billion.
BlackRock said, the deal will be funded by existing corporate liquidity. It expects to complete the deal by the first quarter of 2021.
In a statement it said, the deal is minimally dilutive to its earnings per share (EPS) and is not expected to be dilutive on a cash basis.
Following the acquisition, Aperio will function as a separate branded, and will be integrated vertically within the company’s U.S. Wealth Advisory business.
Sausalito, California-based Aperio partners with wealth advisers to build and manage personalized public equity portfolios, among other things.