Janus Capital Group ended a nearly 20-year business relationship by selling the last of its stake this week in mutual fund service provider DST Systems, Inc, The Kansas City Star reports.
Janus sold its remaining 7.4 million DST shares for $336 million to an unnamed buyer. Basic math suggests that the buyer paid an average price of $45.26 per share. Janus said it earned only $228 million on the sale, a figure that was reduced to $100 million after taxes.
Business ties between the two companies dates back to the 1984 acquisition of Janus by Kansas City Southern Industries, which had also owned DST since 1969. By 1995 DST had become a separate public company in which Kansas City maintained a large stake.
Kansas City later divided itself into two entities, keeping its railroad properties under its original name and domiciling its financial services holdings - Janus and the DST shares -- in a newly formed entity dubbed Stilwell Financial. In 2003, Janus sold more than 32 million of its DST shares back to DST in a tax-free transaction reportedly valued at more than $1 billion.

The staff of Money Management Executive ("MME") has prepared these capsule summaries based on reports published by the news sources to which they are attributed. Those news sources are not associated with MME, and have not prepared, sponsored, endorsed, or approved these summaries.

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