Hennessy Advisors, Inc. to Acquire STF Management ETFs and Welcome Portfolio Manager Jonathan Molchan
Hennessy Advisors (Nasdaq: HNNA) has announced a definitive agreement to acquire two ETFs from STF Management, LP, expanding its ETF portfolio. The acquisition includes the STF Tactical Growth ETF (TUG) and STF Tactical Growth & Income ETF (TUGN), with combined assets of approximately $220 million.
The transaction, expected to close in Q3 2025, will result in the ETFs being reorganized under Hennessy Funds Trust and renamed as Hennessy Tactical Growth ETF and Hennessy Tactical Growth and Income ETF. Portfolio Manager Jonathan Molchan, bringing 20 years of industry experience in derivatives strategies and risk management, will join Hennessy to continue managing the portfolios.
The deal is subject to various approvals, including SEC, board trustees, and shareholders' consent. The transaction is structured to qualify as a tax-free reorganization, meaning shareholders should not recognize any federal income tax gains or losses.
Hennessy Advisors (Nasdaq: HNNA) ha annunciato un accordo definitivo per acquisire due ETF da STF Management, LP, ampliando così il suo portafoglio ETF. L'acquisizione comprende l'STF Tactical Growth ETF (TUG) e l'STF Tactical Growth & Income ETF (TUGN), con un patrimonio combinato di circa 220 milioni di dollari.
La transazione, prevista per chiudere nel terzo trimestre del 2025, comporterà la riorganizzazione degli ETF sotto Hennessy Funds Trust e il loro rinominamento in Hennessy Tactical Growth ETF e Hennessy Tactical Growth and Income ETF. Il Portfolio Manager Jonathan Molchan, con 20 anni di esperienza nel settore delle strategie sui derivati e nella gestione del rischio, si unirà a Hennessy per continuare a gestire i portafogli.
Il contratto è soggetto a varie approvazioni, tra cui quelle della SEC, dei fiduciari del consiglio e del consenso degli azionisti. La transazione è strutturata per qualificarsi come una riorganizzazione senza imposte, il che significa che gli azionisti non dovrebbero riconoscere alcun guadagno o perdita fiscale federale.
Hennessy Advisors (Nasdaq: HNNA) ha anunciado un acuerdo definitivo para adquirir dos ETFs de STF Management, LP, ampliando su cartera de ETFs. La adquisición incluye el STF Tactical Growth ETF (TUG) y el STF Tactical Growth & Income ETF (TUGN), con activos combinados de aproximadamente 220 millones de dólares.
Se espera que la transacción se cierre en el tercer trimestre de 2025, lo que resultará en la reorganización de los ETFs bajo Hennessy Funds Trust y su renombramiento como Hennessy Tactical Growth ETF y Hennessy Tactical Growth and Income ETF. El gestor de cartera Jonathan Molchan, que aporta 20 años de experiencia en estrategias de derivados y gestión de riesgos, se unirá a Hennessy para continuar gestionando los portafolios.
El acuerdo está sujeto a varias aprobaciones, incluidas las de la SEC, los fideicomisarios de la junta y el consentimiento de los accionistas. La transacción está estructurada para calificar como una reorganización libre de impuestos, lo que significa que los accionistas no deberían reconocer ganancias o pérdidas fiscales federales.
헤네시 어드바이저스 (Nasdaq: HNNA)는 STF 매니지먼트 LP로부터 두 개의 ETF를 인수하는 최종 계약을 발표하며 ETF 포트폴리오를 확장했습니다. 인수에는 STF Tactical Growth ETF (TUG)와 STF Tactical Growth & Income ETF (TUGN)가 포함되며, 총 자산은 약 2억 2천만 달러입니다.
2025년 3분기에 마감될 것으로 예상되는 이 거래는 ETF가 헤네시 펀드 트러스트 아래로 재편성되고 헤네시 전술 성장 ETF와 헤네시 전술 성장 및 수익 ETF로 이름이 변경되는 결과를 초래할 것입니다. 포트폴리오 매니저 Jonathan Molchan은 파생상품 전략 및 위험 관리 분야에서 20년의 경력을 가지고 있으며, 헤네시에 합류하여 포트폴리오를 계속 관리할 것입니다.
이 거래는 SEC, 이사회 신탁 및 주주 동의를 포함한 여러 승인의 대상입니다. 이 거래는 세금이 없는 재편성으로 자격을 갖추도록 구조화되어 있어 주주들은 연방 소득세 이익 또는 손실을 인식할 필요가 없습니다.
Hennessy Advisors (Nasdaq: HNNA) a annoncé un accord définitif pour acquérir deux ETF de STF Management, LP, élargissant ainsi son portefeuille d'ETF. L'acquisition comprend le STF Tactical Growth ETF (TUG) et le STF Tactical Growth & Income ETF (TUGN), avec des actifs combinés d'environ 220 millions de dollars.
La transaction, qui devrait se clôturer au troisième trimestre 2025, entraînera la réorganisation des ETF sous Hennessy Funds Trust et leur renaming en Hennessy Tactical Growth ETF et Hennessy Tactical Growth and Income ETF. Le gestionnaire de portefeuille Jonathan Molchan, avec 20 ans d'expérience dans les stratégies dérivatives et la gestion des risques, rejoindra Hennessy pour continuer à gérer les portefeuilles.
L'accord est soumis à diverses approbations, y compris celles de la SEC, des administrateurs et du consentement des actionnaires. La transaction est structurée pour se qualifier en tant que réorganisation sans impôt, ce qui signifie que les actionnaires ne devraient pas reconnaître de gains ou de pertes d'impôt fédéral.
Hennessy Advisors (Nasdaq: HNNA) hat eine endgültige Vereinbarung zur Übernahme von zwei ETFs von STF Management, LP, bekannt gegeben, wodurch das ETF-Portfolio erweitert wird. Die Übernahme umfasst den STF Tactical Growth ETF (TUG) und den STF Tactical Growth & Income ETF (TUGN), mit einem Gesamtvermögen von etwa 220 Millionen Dollar.
Die Transaktion, die voraussichtlich im dritten Quartal 2025 abgeschlossen wird, wird dazu führen, dass die ETFs unter Hennessy Funds Trust reorganisiert und in Hennessy Tactical Growth ETF sowie Hennessy Tactical Growth and Income ETF umbenannt werden. Portfoliomanager Jonathan Molchan, der 20 Jahre Erfahrung in Derivatestrategien und Risikomanagement mitbringt, wird sich Hennessy anschließen, um die Portfolios weiterhin zu verwalten.
Der Deal unterliegt verschiedenen Genehmigungen, einschließlich der SEC, des Vorstands der Treuhänder und der Zustimmung der Aktionäre. Die Transaktion ist so strukturiert, dass sie als steuerfreie Umstrukturierung qualifiziert, was bedeutet, dass Aktionäre keine Bundessteuervorteile oder -verluste anerkennen sollten.
- Strategic expansion into ETF market with $220 million in new assets
- Acquisition of two established ETF products enhancing product portfolio
- Addition of experienced Portfolio Manager Jonathan Molchan with 20 years of industry expertise
- Tax-free transaction structure beneficial for existing shareholders
- Transaction subject to multiple regulatory and shareholder approvals
- Integration risks associated with merging the ETFs into Hennessy's portfolio
Insights
Hennessy Advisors' acquisition of STF Management's ETFs represents a strategic expansion that will significantly boost their assets under management by
The transaction aligns perfectly with Hennessy's stated long-term growth strategy through acquisitions and strengthens their position in the increasingly popular ETF market. While traditional mutual funds have experienced outflows in recent years, ETFs continue to attract investor capital, making this a forward-looking strategic move.
Notably, the company is not only acquiring assets but also key talent in Jonathan Molchan, who brings 20 years of specialized experience in derivatives strategies and risk management. This human capital acquisition enhances HNNA's portfolio management capabilities and intellectual property.
The structure as a tax-free reorganization is beneficial for all stakeholders, as it should minimize transaction costs and ensure a smooth transition for existing shareholders. From a financial perspective, this acquisition should provide immediate revenue enhancement through management fees on the additional
The ETF acquisition significantly diversifies Hennessy's product offerings beyond their traditional fund lineup. The addition of tactical growth strategies - particularly ones incorporating income components - addresses modern investor preferences for flexible investment approaches that can adapt to changing market environments.
What's technically impressive about this acquisition is the specific nature of these tactical ETFs. While not explicitly detailed in the release, tactical ETFs typically employ active management strategies with the flexibility to adjust allocations based on market conditions. This complements Hennessy's existing "buy and hold" philosophy by adding more dynamic offerings to their product suite.
Molchan's experience in derivatives strategies is particularly valuable in the current market environment where options-based strategies have gained significant traction. His expertise should enable the firm to develop more sophisticated products that can generate income and manage downside risk - capabilities increasingly sought by investors in volatile markets.
From an operational perspective, the reorganization of these ETFs as a series of Hennessy Funds Trust creates economies of scale and administrative efficiencies. The
NOVATO, Caif., March 14, 2025 /PRNewswire/ -- Hennessy Advisors, Inc. (Nasdaq: HNNA) announced that it has signed a definitive agreement with STF Management, LP ("STFM") to significantly expand its ETF offerings. This strategic move involves purchasing the assets of two ETFs and bringing them under the Hennessy umbrella: the STF Tactical Growth ETF (TUG) and the STF Tactical Growth & Income ETF (TUGN) (the "STFM ETFs"), with combined assets of approximately
Upon completion of the transaction:
- The STFM ETFs will be reorganized as a series of Hennessy Funds Trust.
- The funds will be renamed the Hennessy Tactical Growth ETF and the Hennessy Tactical Growth and Income ETF.
- Hennessy Advisors, Inc. will become the investment advisor to both funds.
"This transaction is a natural extension of Hennessy Advisors' long-term growth strategy through acquisitions," said Teresa Nilsen, President and COO of Hennessy Advisors, Inc. "We are excited about the possibility of strengthening our position in the ETF market and look forward to welcoming Jonathan Molchan, an experienced and highly regarded Portfolio Manager, to our team. Jonathan brings 20 years of industry experience, specializing in derivatives' strategies, trading, research, and risk management. The addition of these innovative ETFs will complement our existing lineup and aligns with our commitment to providing investors with long-term investment solutions. We look forward to Jonathan and the STFM ETF shareholders joining the Hennessy family, and we are committed to a smooth transition for all concerned," she added.
Jonathan Molchan, who will continue to manage the portfolios on a day-to-day basis, stated, "The Hennessy team has an outstanding reputation for their commitment to shareholders and the asset management industry. I am confident that our shareholders will continue to benefit from disciplined portfolio management, exceptional shareholder service, and trusted oversight. Personally, I am thrilled to be joining such a well-respected and highly regarded firm."
The transaction is subject to customary closing conditions, including approval from the SEC, the Hennessy Funds Trust Board of Trustees, the Listed Funds Trust Board of Trustees (of which the STFM ETFs are a series), and the STFM ETFs' shareholders. The transaction has been structured with the intention of qualifying as a tax-free reorganization under the Internal Revenue Code of 1986, as amended. Consequently, shareholders of the STFM ETFs should not recognize any gain or loss for federal income tax purposes as a result of the transaction.
About Hennessy Advisors, Inc.
Hennessy Advisors, Inc. is a publicly traded investment manager offering a broad range of domestic equity, multi-asset, and sector and specialty funds. Hennessy Advisors, Inc. is committed to providing superior service to shareholders and employing a consistent and disciplined approach to investing based on a buy and hold philosophy that rejects the idea of market timing.
About STF Management, LP
STF Management, LP (STFM) was formed in February 2022 to offer Exchange‑Traded Fund management. Founding partners Thomas Campbell and Jonathan Molchan provide active management to two registered ETFs: the STF Tactical Growth ETF (TUG) and the STF Tactical Growth & Income ETF (TUGN).
Additional Information
Nothing in this press release shall be considered a solicitation to buy or an offer to sell a security to any person in any jurisdiction where such offer, solicitation, purchase, or sale would be unlawful under the securities laws of such jurisdiction.
This press release contains forward-looking statements, which do not relate strictly to historical or current facts. Forward-looking statements are beyond the ability of Hennessy Advisors, Inc. to control and, in many cases, Hennessy Advisors, Inc. cannot predict what factors would cause actual results to differ materially from those indicated by forward-looking statements. Among other risks and uncertainties is the ability of Hennessy Advisors, Inc. to successfully merge the assets of the STFM ETFs into the Hennessy investment portfolio. As a result, no assurance can be given as to future results, levels of activity, performance, or achievements, and Hennessy Advisors, Inc. assumes no responsibility for the accuracy and completeness of any forward-looking statements.
This press release is not a solicitation of a proxy from any shareholder of the STFM ETFs. In soliciting shareholder approval of the transactions, Hennessy Funds Trust and Listed Funds Trust, and their respective trustees, as well as Hennessy Advisors, Inc. and STFM, may be deemed to be participants in the solicitation. Information about the trustees of Hennessy Funds Trust may be found in the Form N‑CSR of the Hennessy Funds filed with the SEC on January 8, 2025, and in the Statement of Additional Information filed with the SEC on February 28, 2025. Information about the trustees of Listed Funds Trust may be found in the Form N‑CSR of the STFM ETFs filed with the SEC on December 6, 2024, and in the Statement of Additional Information filed with the SEC on July 29, 2024. Shareholders of the STFM ETFs should read the definitive prospectus/proxy statement that will be filed in connection with the solicitation because it will contain important information, including a description of any direct or indirect interest of the participants in the solicitation. The definitive prospectus/proxy statement and other relevant documents (when available) may be obtained free of charge from the SEC's website at www.sec.gov or by calling 1-800-966-4354.
Investors should consider the investment objective, risks, charges, and expenses of the STFM ETFs carefully before investing. A prospectus with this and other information may be obtained at www.stfm.com, or by calling 866-590-9112. Read the prospectus carefully before investing.
ETFs involve risk, including possible loss of principal.
Shares of the STFM ETFs are distributed by Foreside Fund Services, LLC, which is not affiliated with STFM or Hennessy Advisors, Inc.
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SOURCE Hennessy Advisors, Inc.
FAQ
What is the value of assets being acquired in Hennessy Advisors' (HNNA) ETF acquisition?
When is the HNNA acquisition of STF Management ETFs expected to close?
Which ETFs are being acquired by Hennessy Advisors (HNNA)?
Will current STF ETF shareholders face tax implications from the HNNA acquisition?
Who will manage the ETF portfolios after Hennessy Advisors (HNNA) completes the acquisition?
