Franklin Templeton Will Buy Alcentra in European Credit Push (1)

Franklin Resources Inc. agreed to buy Bank of New York Mellon Corp.’s European credit and debt subsidiary, Alcentra, as the money manager bets bigger on alternative assets to boost performance.

The acquisition will increase Franklin’s alternatives assets under management to $257 billion, the San Mateo, California-based company said in a statement on Tuesday. Alcentra has $38 billion in assets and specializes in private and structured credit and other credit strategies.

“The acquisition of Alcentra is an important aspect of our alternative asset strategy – the expansion into alternative European credit,” Jenny Johnson, chief executive officer of Franklin Templeton, ...