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Stephens backs CRUX

Stephens has acquired a minority ownership stake in CRUX Asset Management Ltd, an investment firm.

Stephens has acquired a minority ownership stake in CRUX Asset Management Ltd, an investment firm. No financial terms were disclosed.

PRESS RELEASE

LONDON–(BUSINESS WIRE)–CRUX Asset Management Ltd. (“CRUX”), the active equity investment manager, announces today that Stephens, one of the largest, privately-held financial services firms in the U.S., will, through a wholly owned subsidiary entity, take a minority ownership stake in CRUX subject to FCA approval. The proposed transaction will result in Stephens holding approximately 20% of CRUX share capital and new Ordinary shares will be issued to support the deal. John Stephens, who is currently a Senior Vice President with Stephens’ affiliate Stephens Inc., will join the CRUX board as a Non-Executive Director once FCA approval of the transaction has been obtained
Stephens, which has a strong focus on family investments, private equity, asset management investment banking, wealth management, public finance and insurance brokerage, is based in Little Rock, Arkansas, with additional locations in strategic domestic markets and a European practice in the UK and Germany. Founded in 1933 the firm serves a broad range of clients, with an emphasis on long-term relationships and long-term results.

Commenting on the deal Karen Zachary, CEO at CRUX, said: “This is a very exciting strategic step for CRUX and we are delighted to be partnering with a firm of such a high calibre as Stephens and see clear synergies between our two firms. Over the last five years, we have built a scalable platform at CRUX that has enabled us to expand our investment offering into Asia and the UK with complementary strategies that fit our plans to build a diversified range of active management strategies.”

John Stephens at the firm commented: “We are excited to make an investment in CRUX Asset Management which, in our view, is comprised of extremely talented individuals who come together to create a cohesive and exciting team with a bright future. We are looking forward to working with Karen and others in helping the business achieve its goal of becoming a leading, independent asset manager and the platform of choice for high quality PMs with a passion for what they do.”

In September 2021, CRUX hired Citywire AAA-rated Ewan Markson-Brown and Damian Taylor, two seasoned Asia equity fund managers, to build out its Asia equity franchise. In March 2022 CRUX formed a strategic partnership with Union Bancaire Privée (UBP) to advise UBP on its Asia equity funds and mandates. In addition, UBP will provide investors in Asia with exclusive access to CRUX’s alpha-generating equity products.

Established in 2014, CRUX is an active equity investment manager with £1.7 billion assets under management. The firm’s three core equity teams focus on Europe, the UK and Asia to deliver outstanding investment performance through bottom-up, high-conviction stock selection.

Karen Zachary added: “This new relationship strengthens our capital base and enables us to build out and grow our recently acquired UK and Asia strategies, and expand our distribution, widening access to our already well-established European strategy. Our teams are built on an ethos of collaboration, a commitment to fundamental research, and a long-term record of outperformance across equity benchmarks. We look forward to continuing to deliver the scale of performance that can only be achieved by active management with aligned investment aims to our clients globally.”

CRUX Asset Management (“CRUX”) is an active equity investment manager with £1.7bn AUM. Established in 2014, the firm’s three core equity teams focus on Europe, the UK and Asia to deliver outstanding investment performance through bottom-up, high-conviction stock selection. Each team uses proven valuation methodologies and has intimate knowledge of long-term capital growth opportunities in the specific geographies where they invest. The fund managers align investment aims with those of their global clients by investing meaningful amounts of their own assets in CRUX funds and owning equity in the company. www.cruxam.com