trending Market Intelligence /marketintelligence/en/news-insights/trending/zqcsxtv9S38SXYA7itageQ2 content esgSubNav
In This List

Tortoise Investments to be acquired by management, PE firm


Banking Essentials Newsletter: September Edition, Part - 2


S&P Capital IQ Pro | Unrivaled Sector Coverage


S&P Capital IQ Pro | Powering Your Edge


Street Talk Episode 81: Amid strong recovery, Banc of California hearing more M&A chatter

Tortoise Investments to be acquired by management, PE firm

Tortoise Investments, which provides active and passive investment solutions, and Lovell Minnick Partners LLC entered into an agreement for the former's buyout.

Financial terms of the private transaction were not disclosed.

Under the terms of the agreement, three co-founders, Zachary Hamel, Kenneth Malvey and Terry Matlack, will sell their remaining interest in Tortoise and retire from the company upon closing of the transaction. Co-founder David Schulte, who left Tortoise in 2015, will also sell his remaining interest in the company.

Lovell Minnick will purchase the equity stake held in Tortoise by Mariner Holdings and the retiring co-founders. A group of institutional investors, including HarbourVest Partners, AlpInvest Partners, and several additional limited partners, are supporting the deal.

Additionally, ongoing management and employees are expected to significantly increase their ownership in Tortoise and employees will retain their majority stake. Members of Tortoise's senior management and its portfolio managers have signed long-term employment agreements to remain with the company.

Tortoise will retain its brand, and its investment processes, and day-to-day portfolio management will remain unchanged.

The transaction is expected to close by the end of the first quarter of 2018, subject to regulatory, client and fund shareholder approvals.

BMO Capital Markets acted as exclusive financial adviser to Mariner Holdings and Evercore acted as exclusive financial adviser to Lovell Minnick. Key Strategic Advisors advised management on the transaction. UBS and Credit Suisse are providing committed debt financing for the transaction.