Acadian Asset Management Inc. · NYSE:AAMI
Acadian Asset Management — BrightSphere Investment Group — Merger or Acquisition (July 2020)
10 slides from Acadian Asset Management's merger presentation, Jul 26, 2020
Slide 1: BrightSphere Announces Divestiture of Two Affiliates – Barrow Hanley and Copper Rock
BrightSphere Announces Divestiture of Two Affiliates – Barrow, Hanley, Mewhinney & Strauss, LLC and Copper Rock Capital Partners July 26, 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements, including those related to the after-tax proceeds from our disposition of Barrow Hanley, the expected closing date of the transaction, Barrow Hanley’s financial results for the six months ended June 30, 2020, our liqui
Slide 3: Summary of Transactions
Summary of Transactions Barrow Hanley: • BrightSphere to sell its 75.1% equity interest in Barrow, Hanley, Mewhinney and Strauss (“BHMS”) to Perpetual Limited (“Perpetual”), a publicly listed Australian financial services firm (ASX: PPT) • Financial terms as follows: • Purchase price: $319 million i
Slide 4: Key Transactions Highlights
Key Transactions Highlights Proceeds provide significant capital and liquidity to: Pay down debt and return additional capital to shareholders through share repurchases; anticipating double digit accretion to 2021 ENI per share Support affiliate growth through seed capital Results in pro for
Slide 5: Pro Forma Business Mix Positioned to Generate Organic Growth
Pro Forma Business Mix Positioned to Generate Organic Growth Quant & Solutions (1) Alternatives (1) Liquid Alpha (1) • Highly scalable offerings with • Diverse secondaries private • Demonstrated long-term alpha substantial capacity and growing market strategies in private generation across diverse,
Slide 6: Pro Forma Business' Net Client Cash Flows Have Been Strong
Pro Forma Business’ Net Client Cash Flows Have Been Strong $12.0b $10.6b $10.0b $8.0b $7.2b $6.0b $4.0b $1.9b $2.0b $1.5b $0.0b 2017 2018 2019 YTD Mar-20 % of BoP AUM(1) 9% 5% 1% 4% (1) Beginning of period AuM figures exclude Heitman for 2017 and 2018. Pro Forma excludes historical net client cash f
Slide 7: More Attractive Pro Forma Business Mix – by Earnings Metric
More Attractive Pro Forma Business Mix – by Earnings Metric (1) ENI Revenue Economic Net Income (2) Adjusted EBITDA (2) Alternatives Alternatives Alternatives 18% 23% 17% BrightSphere Quant & Solutions Quant & 48% Solutions Quant & Liquid Alpha Solutions Liquid Alpha 53% 27% 56% 29% Liquid Alpha 29%
Slide 8: More Attractive Pro Forma Business Mix – by AUM
More Attractive Pro Forma Business Mix – by AUM (1) By Segment By Asset Class By Client Location Alternatives Alternatives Other Australia 15% 15% 7% 4% BrightSphere Fixed Asia Quant & Income 6% Solutions 8% 49% Europe 10% Liquid Alpha 36% USA Equity 77% 73% Alternatives Alternatives Australia Other
Slide 9: Appendix
BRIGHTSPHERE Investment Group Appendix
Slide 10: Barrow Hanley Reconciliation: GAAP to Adjusted EBITDA (Estimated)
Barrow Hanley Reconciliation: GAAP to Adjusted EBITDA (Estimated) $ in millions YTD Period Ended June 30, 2020(1) U.S. GAAP net income attributable to controlling interests $17 Non-cash key employee-owned equity and profit interest revaluations (2) ($3) Interest income ($0) Interest expense $0 Depre
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