MutualFundWire.com: Expect a $925MM Deal to Close Soon

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Wednesday, December 27, 2023

Expect a $925MM Deal to Close Soon

A $925-million deal's closing date may be just around the corner.

Jennifer M. "Jenny" Johnson
Franklin Resources, Inc. (dba Franklin Templeton)
President, CEO

Seven months ago, Jenny Johnson, president and CEO of Franklin Resources, Inc. (aka Franklin Templeton [profile]), revealed her plan to buy Putnam Investments [profile] from Great-West Lifeco, Inc. At the time, the Franklin team estimated that the deal would close sometime in the fourth quarter of 2023. Yet Q4 2023 is almost over.

"We expect a closing in early January," Franklin spokesperson Stacey Coleman tells MFWire via email. "The timing is in line with our expectations."

San Mateo, California-based Franklin has agreed to pay Great-West $825 million in stock up front, plus $100 million in cash 180 days (i.e. six months) after the deal closes. Great-West will hold about 6.2 percent of Franklin and become a "long-term strategic shareholder," and Great-West has also agreed to allocate $25 billion to Franklin's offerings within a year after closing. The Putnam headquarters, as previously reported, will remain in the same building in Boston.

Printed from: MFWire.com/story.asp?s=66860

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