A press release entitled, "Wells Fargo Asset Management to Become Allspring Global Investments; Initiates Leadership Transition," tells us, "GTCR LLC and Reverence Capital Partners, L.P. ... announced that upon closing of their acquisition of Wells Fargo Asset Management (WFAM), the newly independent company will be rebranded as Allspring Global Investments. The new name Allspring Global Investments reflects the newly independent firm's rich history in investment leadership and its commitment to renewal, growth, and meaningful client outcomes. As part of the transition, veteran industry executive Joseph A. Sullivan will become Chief Executive Officer, in addition to his previously announced role as Executive Chairman. Mr. Sullivan will succeed Nico Marais, WFAM's current CEO, who will retire upon closing of the transaction and continue to serve Allspring as a senior advisor."
It explains, "Mr. Sullivan comes to Allspring with more than 40 years of industry experience, previously serving as Chairman and Chief Executive Officer of Legg Mason, Inc. from 2012 until its acquisition by Franklin Templeton in 2020.... Before joining Legg Mason, he served on the Board of Directors of Stifel Financial and as Executive Vice President and Head of Fixed Income Capital Markets for Stifel Nicolaus from December 2005."
Sullivan comments, "I am honored and energized to have the opportunity to lead Allspring, as we enter a new era for the firm.... In spending time with Nico and the organization over the past few months, I have been incredibly impressed by the depth of investment expertise and quality of our people and leadership. Our new name truly embodies a renewed corporate culture and commitment to continue to invest thoughtfully and partner with our clients to navigate the future."
Collin Roche, Managing Director of GTCR, says, "Today's announcements mark key milestones in the transformation of WFAM into a focused, independent, global asset management firm serving private wealth and institutional clients around the world. We are excited about the possibilities of our new name, Allspring Global Investments, and that Joe Sullivan will become Allspring's CEO. Joe is recognized as one of the asset management industry's most respected leaders, and he will be exceptionally valuable as we execute on our growth strategy. We would like to thank Nico Marais for his strong leadership of WFAM, and we are pleased that he will continue to serve as a senior advisor."
Marais states, "This is a tremendously exciting time for the company, and as we make this transition, it is the right time for me personally and professionally to step down from active leadership and assume a new advisory role. I have cherished my time as CEO of WFAM and am very appreciative of the passion and professionalism of our people. We have accomplished a great deal, including the transition to independent ownership. I look forward to working with Joe and the team, and I am confident about what the future holds for the organization."
Milton Berlinski, Co-Founder and Managing Partner of Reverence Capital, comments, "Today's leadership and name announcements give us even stronger conviction that the partnership between WFAM, GTCR and Reverence puts us in a powerful position to execute on our strategic vision for Allspring. We are pleased to have a leader of Joe's stature to take us forward as a newly independent company, and we are very grateful to Nico for his strong continued partnership during this time."
The release adds, "On February 23, 2021, GTCR LLC and Reverence Capital Partners, L.P. announced that they had agreed to acquire WFAM from Wells Fargo & Company (NYSE: WFC). The name change to Allspring Global Investments is expected to go into effect upon the closing date of the transaction, which is anticipated to occur in the second half of 2021, subject to customary closing conditions. Additional details related to the new independent company and its brand identity will be shared upon closing of the transaction."
See our Feb. 25 News, "Wells Fargo Sells Asset Management Unit; Morgan Stanley Gets Social," and the original press release, "Wells Fargo Enters Agreement with GTCR and Reverence Capital Partners to Sell Wells Fargo Asset Management."
Wells Fargo Asset Management is currently the 9th largest manager of money market funds with $200.7 billion (as of 6/30/21), according to Crane Data. Among the 27 Wells Fargo MMFs tracked, the largest include: Wells Fargo Govt MM Sel (WFFXX, $103.3B); Wells Fargo Govt MM Inst (GVIXX, $40.6B); Wells Fargo Trs Plus In (PISXX, $15.6B); Wells Fargo 100% Treas MM Inst (WOTXX, $10.8B); Wells Fargo 100% Treas MM Svc (NWTXX, $5.3B); Wells Fargo Heritage Sel (WFJXX, $5.2B); Wells Fargo Govt MM Adm (WGAXX; $4.3B); Wells Fargo MMF Prm (WMPXX; $3.3B); Wells Fargo Trs Plus Sel (WTLXX; $3.6B); and, Wells Fargo Govt MM Svc (NWGXX, $2.0B).
For more on money fund manager transactions, see these Crane Data News pieces: "Franklin, Legg Mason Deal Signals More Consolidation; More Liquidations" (2/20/20); "Sweeps Big Part of Morgan Stanley, E*Trade Purchase; Rates Flat Again" (2/25/20); "Oppenheimer Funds Now Invesco Oppenheimer; Dreyfus Keeping Name" (6/3/19); Invesco Buying OppenheimerFunds; DWS ESG, Northern's RAVI Advertise" (10/22/18); "BlackRock Taking Over BofA MMFs in One of Biggest Acquisitions Ever" (11/3/15); and "Merged BlackRock, BGI Form World's 3rd Largest Money Fund Manager" (12/2/09).
