Burford has completed the acquisition of Gerchen Keller Capital (GKC), a Chicago based asset manager whose funds invest in legal related investments. With $1.3bn of assets and 20 staff, it brings significant additional scale to Burford. GKC has two investment strategies, one of which is new to Burford and expands its range of services. Financially it brings ongoing management fee income, though performance fees will probably be more valuable in the medium term. The headline purchase price is $160m, paid in a mixture of cash, loan notes and equity with an additional payment of 2.5m shares if performance fee targets are met.
19 Dec 2016
Acquisition gives greater investment conviction
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Acquisition gives greater investment conviction
Burford Capital Limited (BUR:LON) | 1,194 107.5 0.8% | Mkt Cap: 2,617m
- Published:
19 Dec 2016 -
Author:
Brian Moretta -
Pages:
12
Burford has completed the acquisition of Gerchen Keller Capital (GKC), a Chicago based asset manager whose funds invest in legal related investments. With $1.3bn of assets and 20 staff, it brings significant additional scale to Burford. GKC has two investment strategies, one of which is new to Burford and expands its range of services. Financially it brings ongoing management fee income, though performance fees will probably be more valuable in the medium term. The headline purchase price is $160m, paid in a mixture of cash, loan notes and equity with an additional payment of 2.5m shares if performance fee targets are met.