The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Will Legg Mason's Sullivan Seal a Deal For a $38B Shop? Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, January 5, 2016

Will Legg Mason's Sullivan Seal a Deal For a $38B Shop?

News summary by MFWire's editors

Joe Sullivan may be about to shell out nine figures for a real estate investing giant.

Kiel Porter of Bloomberg reports that, per unnamed sources, Baltimore-based Legg Mason [profile] is in exclusive talks to buy an 80-percent stake in New York-based real estate investing giant Clarion Partners. Clarion chairman and CEO Stephen Furnary and other Clarion management would hang onto the other 20 percent of Clarion.

Joe Sullivan
Legg Mason
Chairman, Chief Executive Officer
Reuters also covered the news.

Clarion, which is backed by private equity shop Lightyear Capital, has about $38 billion in AUM. Bloomberg's sources estimate that Clarion had $70 million in EBITDA in 2015, and the deal would reportedly value the company at about $850 million. That translates into more than 12.14 times EBITDA, which Bloomberg compares to a median valuation of 7.09 for publicly-traded real estate investment shops in the U.S. In terms of Clarion's assets, the deal values the company at about 2.24 percent of AUM.

Clarion appears to have come a long way in just a few years. Bloomberg notes that Lightyear and Clarion management shelled out $100 million to spin Clarion out of ING back in 2011.

Stephen Furnary
Clarion Partners
Chairman, Chief Executive Officer
As for Legg, Sullivan (its CEO) has long talked up acquisitions as key part of his growth strategy for the publicly-traded, multi-boutique asset manager. 

Edited by: Neil Anderson, Managing Editor

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use