Henderson Group, Janus Capital Announce $6 Billion All-Shares Merger

LONDON—Investment management firms Henderson Group PLC and Janus Capital Group Inc. on Monday announced an all-share merger aimed at widening their distribution reach.

The boards of both companies have unanimously agreed to the deal, which would give the combined group a market capitalization of $6 billion.

The combined company will be named Janus Henderson Global Investors PLC and Henderson and Janus shareholders are expected to own 57% and 43% respectively.

The merger is currently expected to close in the second quarter of 2017, subject to shareholder and regulatory approvals.

It should increase the companies' distribution strength and coverage in markets such as the U.S., Europe, Australia, Japan and the U.K., as well as a growing presence in Asia-Pacific, the Middle East and Latin America.

The companies are targeting annual run-rate net cost savings of at least $110 million weighted to the first 12 months following completion and expected to be fully realized three years post completion.

Janus Henderson Global Investors will be managed by a newly appointed executive committee, whose members will report jointly to co-chief executives Dick Weil and Andrew Formica.

Henderson is an independent global asset manager, specializing in active investment. Henderson is dual-listed on the Australian Securities Exchange and the London Stock Exchange, and has a market capitalization of £ 2.6 billion ($3.37 billion).

Janus Capital Group is a global investment firm. Based in Denver, Janus has offices located in 12 countries throughout North America, Europe, Asia and Australia. It is listed on the New York Stock Exchange and has a market capitalization of $2.6 billion.

The combined group will apply for admission to trade on the New York Stock Exchange as its primary listing, retaining Henderson's existing listing on the Australian Securities Exchange.

Write to Razak Musah Baba at [e-mail]

(END) Dow Jones Newswires

October 03, 2016 05:05 ET (09:05 GMT)

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