UPDATE 3 — Global asset management giant Franklin Resources, Inc, operating as Franklin Templeton Investments, has agreed to acquire Sandy Nairn’s independent fund management firm Edinburgh Partners Limited in a deal thought to be worth up to £200 million.
California-based Franklin Templeton has $753 billion in assets under management.
Jenny Johnson, chief operating officer of Franklin Resources, Inc. said: “We’re pleased to announce the acquisition of Edinburgh Partners, an established global value investment manager, and to welcome back Dr. Sandy Nairn to our organization.
“Dr. Nairn worked alongside the late legendary global investor, Sir John Templeton, and was employed by Franklin Templeton for more than a decade.
“He brings a tremendous amount of leadership experience and expertise in managing global and international equities, an area that continues to be of strong interest to our clients around the world.
“This is the latest example of the firm continuing to make strategic investments in relatively small, yet highly experienced asset management teams that complement Franklin Templeton’s global offerings.”
Nairn will become chairman of Templeton Global Equity Group and remain investment partner and CEO of Edinburgh Partners.
He will report to Stephen Dover, Franklin Templeton’s head of equities.
Based in Edinburgh, with an office in London and two in the United States, Edinburgh Partners invests globally.
Its team of 12 investment professionals are highly regarded.
Edinburgh Partners manages about $10 billion in global and emerging markets equities.
Templeton Global Equity Group manages about $101 billion in assets.
“Dr. Nairn and his experienced team will be an excellent addition to our global equity capabilities,” said Dover.
“As chairman of Templeton Global Equity Group, Dr. Nairn will bring many new insights to share, having run his own firm for the last 15 years, while also drawing upon his in-depth knowledge of the Templeton investment philosophy and process from his many prior years with the group.
“We look forward to having Dr. Nairn and his team join our strong lineup of investment groups.”
Nairn said: “I am very excited to be coming back to Templeton, the company that gave me my great appreciation for global investing.
“My team and I are deeply familiar with the history and strong reputation of the broader Franklin Templeton organization, and we’re pleased to join such a well-regarded firm.
“I look forward to sharing my perspective and experience with the Franklin Templeton organization.
“The access to Franklin Templeton’s extensive global resources will allow me to focus my time on investment management, as we continually seek to bolster our investment process and enhance our clients’ experience.”
Nairn is one of the founders of Edinburgh Partners.
Prior to establishing Edinburgh Partners in 2003, he was chief investment officer of Scottish Widows Investment Partnership from November 2000 to March 2003.
Between 1990 and 2000, Nairn was part of the Templeton Global Equity Group where he was executive vice president and the director of research.
Before joining Templeton, Nairn spent four years at Murray Johnstone as a portfolio manager and research analyst.
The transaction is subject to regulatory approvals and is expected to be completed in the first half of 2018. Terms of the transaction were not disclosed.