AMG Announces Investment in OCP Asia

Rhea-AI Summary

Affiliated Managers Group (AMG) has acquired a minority equity interest in OCP Asia Limited, enhancing its footprint in private credit markets. OCP Asia, managing approximately $3 billion, specializes in secured lending solutions across the Asia-Pacific region. The firm is recognized for its ability to deliver exceptional risk-adjusted returns and operates independently despite AMG's investment. This partnership marks AMG's second affiliation in the region, aimed at capitalizing on significant market opportunities.

Positive

• AMG's acquisition of a minority stake in OCP Asia positions it well in the growing private credit market.
• OCP Asia has a strong management team with a 20-year investment track record.
• The partnership enhances AMG's exposure to growth markets across Asia, aligning with increasing client allocations.

Negative

• None.

WEST PALM BEACH, Fla., April 30, 2021 (GLOBE NEWSWIRE) -- Affiliated Managers Group, Inc. (NYSE: AMG), a leading partner to independent active investment management firms, has acquired a minority equity interest in OCP Asia Limited (“OCP Asia”). The partners of OCP Asia continue to hold a significant majority of the equity of the firm and direct its day-to-day operations.  

With approximately $3 billion under management, OCP Asia is a leading alternative manager in private markets, providing customized secured lending solutions across the Asia-Pacific region. Based in Hong Kong and Singapore, OCP’s experienced team of more than 30 professionals is led by partners Stu Wilson, Teall Edds, and Dan Simmons. Against the backdrop of significant structural demand for credit from sophisticated borrowers in the Asia-Pacific region and an underdeveloped traditional bank-lending infrastructure, OCP Asia has a unique ability to provide dynamic lending solutions which are timely, bespoke, and often more attractive than those offered by traditional capital sources. In addition, with its rigorous investment process and differentiated competitive position, OCP Asia has built a reputation for consistently delivering exceptional risk-adjusted returns.

“OCP Asia operates in the attractive segment of private credit in markets across Asia, and is a highly regarded credit provider in the region,” said Jay C. Horgen, President and Chief Executive Officer of AMG. “With the team’s 20-year investment track record and extensive set of established local corporate relationships, OCP Asia has distinguished itself as a leader in private credit and secured lending. We are pleased to welcome OCP Asia – our second Affiliate partnership in the region – which further enhances AMG’s broad participation in private markets and our exposure to growth markets across Asia, where client allocations are increasing. OCP Asia is uniquely positioned to capitalize on the compelling investment opportunities in private credit given the team’s highly distinctive credit expertise and excellent long-term track record. I am very pleased to welcome Stu, Teall, Dan, and their partners to our Affiliate group.”  

“We are excited to partner with AMG, as its unique approach enables OCP Asia to preserve our investment independence and operational autonomy – which is deeply important to our firm’s culture and to our clients given the relationship-based dynamics of direct lending,” said Mr. Wilson, OCP Asia Partner. “We are confident that given AMG’s three-decade track record as a partner to leading independent firms, as well as its proven strategic capabilities, this partnership will enhance our competitive advantages over time. As a lender to growing businesses, our entrepreneurial culture has been critical to our success and ability to support borrowers, and we are pleased to have found in AMG a partner that shares our commitment to this culture and is aligned with us for the long term. With this new partnership, we are well-positioned to build an enduring, multi-generational, independent investment firm that serves its borrowers and investors with distinction.”  

The terms of the transaction were not disclosed.

About AMG
AMG is a leading partner to independent active investment management firms globally. AMG’s strategy is to generate long-term value by investing in a diverse array of excellent independent partner-owned firms, through a proven partnership approach, and allocating resources across AMG’s unique opportunity set to the areas of highest growth and return. AMG’s innovative partnership approach enables each Affiliate’s management team to own significant equity in their firm while maintaining operational and investment autonomy. In addition, AMG offers its Affiliates growth capital, global distribution, and other strategic value-added capabilities, which enhance the long-term growth of these independent businesses, and enable them to align equity incentives across generations of principals to build enduring franchises. As of December 31, 2020, AMG’s aggregate assets under management were approximately $716 billion across a broad range of active, return-oriented strategies. For more information, please visit the Company’s website at www.amg.com

About OCP Asia
Established in 2009, OCP Asia is a leading independent alternative investment manager providing secured direct lending solutions to small and medium-sized enterprises across the Asia-Pacific region. OCP Asia works closely with its investment companies to understand their specific needs and develop timely, bespoke lending solutions which are both more attractive than traditional capital sources and also align the interests of OCP Asia’s investors with those of the key stakeholders of its investee companies. Based in Hong Kong and Singapore, OCP Asia’s experienced team is led by partners Stu Wilson, Teall Edds, and Dan Simmons, who have invested in the region together for nearly two decades. For more information, visit www.ocpasia.com.

Certain matters discussed in this press release may constitute forward-looking statements within the meaning of the federal securities laws, and could be impacted by a number of factors, including those described under the section entitled “Risk Factors” in our most recent Annual Report on Form 10-K, as such factors may be updated from time to time in our periodic filings with the SEC, which are accessible on the SEC's website at www.sec.gov. We undertake no obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise, except as required by applicable law. From time to time, AMG may use its website as a distribution channel of material Company information. AMG routinely posts financial and other important information regarding the Company in the Investor Relations section of its website at www.amg.com and encourages investors to consult that section regularly.

Investor Relations:
Anjali Aggarwal

Media Relations:                           
Jonathan Freedman

+1 (617) 747-3300
ir@amg.com
pr@amg.com

FAQ

What recent investment did AMG make on April 30, 2021?

On April 30, 2021, AMG acquired a minority equity interest in OCP Asia Limited, a leading private credit provider.

What is OCP Asia known for?

OCP Asia is known for providing customized secured lending solutions across the Asia-Pacific region, managing around $3 billion.

How does the partnership with OCP Asia benefit AMG?

The partnership enhances AMG's participation in private markets and increases its exposure to growth markets in Asia.

Who leads the team at OCP Asia?

The experienced team at OCP Asia is led by partners Stu Wilson, Teall Edds, and Dan Simmons.

What are AMG's assets under management as of December 31, 2020?

As of December 31, 2020, AMG had approximately $716 billion in aggregate assets under management.