London and New York-based fund of hedge funds firm Liongate has sold a majority stake to pension plan specialist Principal Global Investors.
Principal Global, a subsidiary of investment management firm Principal Financial Group, announced Monday that it has agreed to purchase a 55% stake in Liongate. The transaction is expected to close in the second quarter of 2013, pending regulatory approval.
Under the agreement, Liongate partners will retain a 45% share and will continue with their current management roles.
Principal said in the statement that it is optimistic the acquisition will “strengthen [its] alternative investment capabilities, deepen its pool of investment talent and help extend its product offerings into customized multi-asset and hedge fund solutions.”
Specializing in equities, fixed income and real estate investments, Principal Global manages about $281.5 billion in assets. Liongate has approximately $2.1 billion in assets under management.