Piper Jaffray Buying Advisory Research for $218 Million

NEW YORK (Reuters) – Piper Jaffray Cos (PJC.N) on Monday said it will acquire Advisory Research Inc in a $218 million deal to expand its asset management business.

Chicago, Illinois-based Advisory Research has $5.5 billion in assets under management.

Piper Jaffray will pay $178 million in cash and $40 million in restricted stock.

Brien OBrien, chief executive officer of Advisory Research, will join Piper Jaffray’s senior leadership team and report to Andrew Duff, chairman and CEO of Piper Jaffray.

The deal, subject to regulatory approvals, is expected to close in the first quarter of 2010.

Advisory Research has 42 employees. (Reporting by Juan Lagorio; editing by John Wallace)

peHUB Note: Advisory Research is a portfolio company of TA Associates