iM Global Partner, the French manager that has been growing through acquisitions, is now buying 40% of the California-based equity value firm Scharf Investments in a move aimed at expanding its offering of high alpha products.
The financial terms of the acquisition have not been yet disclosed.
Scharf Investments' strategies look for securities with significant discounts to their valuation as margin of safety, high earnings predictability and solid growth. They are all managed with the same value fundamental bottom up and focused approach.
iM Global Partner took a 45% stake in Dynamic Beta Investments, a New York-based liquid alternatives manager - in September 2018.
The French manager is focused on buying stakes in boutiques globally. It now has minority stakes in four managers: Polen Capital, Dolan McEniry Capital Management, Sirios Capital Management, and now Dynamic Beta investments - totalling AUM of over $30bn as of July 2018. Key shareholders in iM Global Partner include private equity investor Eurazeo, Amundi, Groupe Dassault and La Maison.
Scharf Investments, founded in 1983, grew from five people and under $700m of assets under management in 2007 to 24 people and $3.4bn of assets under management today.