Sun Life Financial To Acquire 51% Stake In Advisors Asset Management For US$214 Mln

(RTTNews) - Sun Life Financial Inc. (SLF, SLF.TO) said that it plans to acquire a 51% interest in Advisors Asset Management, Inc. or AAM for US$214 million subject to customary adjustments with a put/call option to acquire the remaining 49% starting in 2028.

Advisors Asset Management is an independent U.S. retail distribution firm, through SLC Management, Sun Life's institutional fixed income and alternatives asset manager. AAM will become the U.S. retail distribution arm of SLC Management.

AAM oversees $41.4 billion in assets as of July 31, 2022. With 10 offices across eight U.S. states, AAM has a team of more than 270 professionals.

As part of the transaction, Sun Life is committing to invest up to US$400 million to launch SLC Management alternative products for the U.S. retail market to be distributed by AAM.

The transaction is expected to close in the first half of 2023.