ABN AMRO Holdings of Amsterdam will acquire Alleghany Asset Management of Chicago for $825 million, the companies announced last week.
The acquisition will increase ABN AMRO's global assets by 40 percent to $155 billion. Alleghany gives ABN AMRO more than 550 institutional clients in North America, according to a statement from ABN AMRO.
ABN AMRO currently has three U.S.-based subsidiaries including La Salle Bank Group of Chicago, Standard Federal Bank of Troy, N.Y. and European American Bank of New York.
Alleghany's subsidiaries include investment adviser Montag & Caldwell Inc. of Atlanta, The Chicago Trust Company, Chicago Capital Management, Blairlogie Capital Management of Edinburgh, Scotland and Chicago Deferred Exchange Corporation.
The majority of Alleghany's $45 billion in assets are through institutional clients, said Michael Van Dam, a spokesperson for Alleghany. The firm manages about $5 billion in mutual funds and the remainder is in pension funds and defined contribution accounts, corporate assets and high-net-worth accounts, he said.
"With this transaction, Alleghany Asset Management will have access to the global distribution and other resources of one of the world's largest financial institutions," said John J. Burns Jr., president and CEO of Alleghany.