SOURCE: Stone Point Capital LLC

December 21, 2007 15:54 ET

Trident IV to Acquire Majority Interest in Asset Allocation & Management

GREENWICH, CT--(Marketwire - December 21, 2007) - Stone Point Capital, the manager of the Trident Funds, today announced that Trident IV, L.P. has acquired a majority interest in Asset Allocation & Management (AAM), a fixed income asset management firm that specializes in providing investment management services to the insurance industry. A partnership managed by KBW Capital Partners is acquiring a minority interest in AAM alongside Trident. Terms of the transaction were not disclosed.

Stone Point Capital and KBW Capital Partners will be purchasing their interests in AAM from funds managed by Century Capital Management, which has owned a majority interest in AAM since 2003. In connection with the transaction, members of the management team of AAM will make an additional investment in AAM and will significantly increase their ownership interest in the company.

Stone Point Capital CEO Charles A. Davis said, "We are delighted to be partnering with the AAM management team. AAM has an outstanding client list and an impressive performance record over many years. We look forward to working with the AAM management team in continuing to build their business."

John Schaefer, President of AAM, said, "The AAM management team is pleased to be working with Stone Point Capital and KBW Capital Partners as we move into the next phase of the development of our business. In partnership with Stone Point and KBW, AAM will be a stronger organization with access to greater resources and expanded research capabilities. We would also like to acknowledge the many contributions of Century Capital to the growth of our business over the last several years. We have enjoyed our relationship with them."

Credit Suisse served as exclusive financial advisor to Stone Point Capital in connection with the investment.

Stone Point Capital LLC is a global private equity firm based in Greenwich, Connecticut. Stone Point Capital serves as the manager of the Trident Funds, which have raised more than $10 billion in committed capital to make investments in the insurance, employee benefits and financial services industries. Stone Point Capital has a 20 year track record of successful investments in the financial services industry and has made numerous investments in the insurance and reinsurance industries, including founding investments in AXIS Capital, Harbor Point Limited, PARIS RE Holdings Limited, James River Group Inc., CompWest and Wilton Re Holdings Limited.

KBW Capital Partners makes private equity investments in the financial services industry in the U.S. and select markets abroad and is affiliated with KBW, Inc. (NYSE: KBW), the largest full-service investment bank that specializes exclusively in the financial services sector. KBW Capital Partners' focus includes banks and depository institutions, insurance companies, asset management companies, specialty finance firms and third party administrators.

AAM is based in Chicago, IL and specializes in the management of insurance company portfolios. AAM has 91 clients and approximately $17.2 Billion in assets under management as of September 30, 2007.

Contact Information

  • Contact Information:
    Charles A. Davis
    Stone Point Capital LLC
    (203) 862-2900