Schroders has sold its entire 41% holding in UK fund house RWC Partners, while Lincoln Peak Capital joins as a new long-term partner taking a 27% holding in the company.
In a statement, RWC announced it had signed a definitive agreement for Schroders to sell its equity in RWC back to the firm and to Lincoln Peak Capital, the US investment group.
The deal involves Schroders selling the 41% of RWC it currently holds, with several individual investors offloading an additional 6% of the business. The shares are being bought back by RWC, its staff and US investment group Lincoln Peak Capital, which will take a 27% stake in the business.
We would like to thank Schroders for the support they have shown our organisation over the last nine years"
FTSE 100 fund manager Schroders bought a stake in RWC in 2010 and has seen the investment business rapidly grow its assets under management — from $2.2bn to $18bn.
Lincoln Peak specialises in investments in asset management companies, typically backing the existing management team.
RWC is based in London and has £13.9bn in assets under management across the retail and institutional sectors.
Dan Mannix, chief executive at RWC, said: "We would like to thank Schroders for the support they have shown our organisation over the last nine years. In Lincoln Peak, we welcome a new shareholder to RWC who we have known for many years."
Seth Brennan, co-founder and managing partner of Lincoln Peak, added: "This transaction and commitments made by various parties preserves RWC's successful business model and improves the alignment between all of RWC's stakeholders, positioning the company for long-term stability and continued success."
The deal is subject to regulatory approval.