London asset manager, Old Mutual plc has announced it will sell its securities lending programs to Boston-based private equity firm, TA Associates.
eSecLending manages customized securities lending programs for institutional investors, including several of the largest pension funds and investment management companies in the US, UK and Europe. The firm has auctioned well over $750 billion in assets across multiple asset classes since inception and currently has approximately $21 billion in cash collateral assets under management, up from $15 billion as of December 31, 2005.
Some of TA’s prior investments in the sector include Affiliated Managers Group, AIM Management Group (AMVESCAP), Datek Online Holdings (Ameritrade Holding Corporation), GlobeOp Financial Services, The IntercontinentalExchange, ION Trading Group, The Island ECN (Instinet Group Incorporated), Lava Trading, Numeric Investors and Thomson Advisory Group (PIMCO).
“eSecLending has many compelling positives, including an impressive management team that combines deep knowledge of the securities lending industry with strong operational experience,” said C. Kevin Landry, CEO of TA Associates who will also join the company’s Board. “This expertise, combined with increasing acceptance by customers of its business model, should enable eSecLending to expand its leadership position in the securities lending industry.”
Putnam Lovell NBF Securities Inc. represented eSecLending as its exclusive financial advisor. Shearman & Sterling LLP provided legal counsel to eSecLending. Evercore Partners represented TA Associates as its exclusive financial advisor. Goodwin Procter LLP provided legal counsel to TA Associates.