Janus Henderson Receive $7.2 Billion Acqusition Offer

Janus Henderson Group, a British-American global asset management group with headquarters in London, said that it has received a nonbinding acquisition proposal jointly from hedge fund and active investor Trian Fund Management, and General Catalyst Group Management for $7.1 billion.

According media reports, Janus Henderson’s board of directors will appoint a special committee to consider the offer of $46 in cash for each of the company’s ordinary shares not already owned by Trian, the company said on Monday.

Trian and General Catalyst claimed that Janus Henderson, which is expected to report its Q3 financial results on Thursday, would operate better as a private company. Following the announcement, the shares of Janus were up 16.7% at $48.57 on Monday.

In a letter to Janus Henderson on Sunday, the two companies said that Janus Henderson has an opportunity to make long-term investments in its product offerings, client services, technology and talent and that those investments would be more effective free from the constraints of operating as a public company.

They also said Janus Henderson is highly sensitive to capital market and geopolitical dynamics, and the acquisition would allow Janus Henderson shareholders to take advantage of the company’s current value during a boom in equity markets.

Trian, which owns 20.4% stake in the London-based company, has two representatives on Janus’ board, but the special committee will not have directors affiliated with Trian or General Catalyst.

No Assurance

According to the proposal, there is “no assurance” that a final agreement will be reached, and Janus Henderson will not yet comment on the proposal.

It may be recalled that in April, Janus Henderson formed a strategic partnership with the Guardian Life Insurance Co. of America, and Janus Henderson became the manager for the insurer’s $45 billion investment-grade fixed-income portfolio.

The two firms also co-developed multi-asset solution model portfolios for Park Avenue Securities LLC, Guardian Life’s dually registered broker/dealer and registered investment adviser.

Then in September, the insurance provider CNO Financial Group Inc. acquired a minority stake in private credit manager Victory Park Capital, which is owned by Janus Henderson, for $600 million in capital commitments.

As of June 30, Janus Henderson had approximately $457 billion in assets under management, more than 2,000 employees, and offices in 25 cities worldwide. Trian first disclosed its investment in Janus Henderson in October 2020.