18th May 2018

BNY Mellon to exchange ownership stake in Amherst Capital for minority interest in Amherst Holdings

BNY Mellon Investment Management and Amherst Holdings have announced an agreement through which BNY Mellon will exchange its majority equity interest in Amherst Capital Management LLC (Amherst Capital) for a minority equity stake in Amherst Holdings.

Concurrently, Texas Treasury Safekeeping Trust Company (TTSTC), a founding seed investor in Amherst Capital, will swap its current economic interest in Amherst Capital for an interest in Amherst Holdings. Following the completion of the transaction, Amherst Capital will be a wholly owned subsidiary of Amherst Holdings.

This transaction will create more opportunities for Amherst Capital to accelerate its growth and develop new initiatives as a fully integrated business within Amherst Holdings. Amherst Capital's commitment to providing specialised US real estate investment solutions across private debt, private equity and public markets will remain unchanged, with all strategies underpinned by the same research capabilities and investment philosophy.

BNY Mellon will continue to offer Amherst Capital's real estate solutions to its clients, while benefiting from the ongoing growth and potential to engage with Amherst Holdings on other real estate investment opportunities. This transaction will also enable TTSTC to further strengthen its partnership with Amherst Holdings by broadening its exposure to Amherst Holdings' innovative investment strategies and growth potential.

Sean Dobson, Chairman and CEO of Amherst Holdings, CEO and CIO of Amherst Capital, said: "Fully integrating Amherst Capital within Amherst Holdings, and in turn optimising our relationship with BNY Mellon, will help us better utilise resources and expertise across our entire investment platform, positioning Amherst Holdings to continue delivering innovative real estate investment opportunities to investors seamlessly across our business lines to capitalise on market opportunities."

Mitchell Harris, CEO of BNY Mellon Investment Management, said: "This transaction meets BNY Mellon's strategy of delivering strong investment alternatives to our global client base. Maintaining an ongoing stake in Amherst Holdings ensures BNY Mellon will benefit from Amherst Holdings' continued growth and access to Amherst Capital's leading real estate strategies for our clients.”

Terms of the transaction were not disclosed. The transaction is expected to close within 90 days and is subject to customary closing conditions.