Invesco completed an acquisition of Oppenheimer Acquisition Corporation, more commonly known as OppenheimerFunds. While technically an acquisition, the integration of OppenheimerFunds' operations and assets into Invesco effectively constitutes a merger of the two entities' capabilities and client bases under the Invesco brand.
Understanding the Transaction
On May 24, 2019, Invesco Ltd. finalized its acquisition of Oppenheimer Acquisition Corporation (OAC) and its subsidiaries, which primarily operated as OppenheimerFunds. This significant transaction involved the transfer of OppenheimerFunds from Massachusetts Mutual Life Insurance Company (MassMutual) to Invesco.
Key Aspects of the Acquisition
The acquisition was a strategic move for Invesco, significantly expanding its presence in the asset management industry.
- Acquirer: Invesco Ltd.
- Acquired Entity: Oppenheimer Acquisition Corporation (OppenheimerFunds)
- Seller: Massachusetts Mutual Life Insurance Company (MassMutual)
- Closing Date: May 24, 2019
| Detail | Description |
|---|---|
| Acquiring Firm | Invesco Ltd. |
| Acquired Firm | Oppenheimer Acquisition Corporation (OppenheimerFunds) |
| Previous Owner | Massachusetts Mutual Life Insurance Company (MassMutual) |
| Completion Date | May 24, 2019 |
| Nature of Deal | Acquisition (Invesco purchased OAC and its subsidiaries) |
| Operational Impact | OppenheimerFunds' assets, investment capabilities, and client relationships were integrated into Invesco, expanding Invesco's global scale, particularly in the U.S. retail market. |
Acquisition vs. Merger: A Nuance
While the official term for the transaction was an "acquisition," in the context of business integration, it often functions similarly to a merger. In an acquisition, one company (the acquirer, Invesco) purchases another company (the acquired, OppenheimerFunds). The acquired company often ceases to exist as an independent entity, with its operations, employees, and assets being absorbed into the acquiring company.
For all practical purposes from a market and operational standpoint, OppenheimerFunds effectively "merged" into Invesco, combining their strengths and offerings. This integration aimed to create a more robust and diverse asset management platform under the Invesco umbrella.
For more details on the transaction, you can refer to the official filing information: SEC.gov - Exhibit 99.3
