Latham & Watkins advised half century-old alternative asset management firm GCM Grosvenor on a deal to go public by merging with CF Finance Acquisition Corp., a special purpose acquisition company sponsored by Cantor Fitzgerald.
Hughes Hubbard & Reed and Ellenoff Grossman & Schole advised CFAC on the transaction, under which the combined company will operate as NASDAQ-listed GCM Grosvenor Inc., valued at an estimated $2 billion.
GCM Grosvenor’s existing senior management team, led by chairman & CEO Michael J. Sacks, will continue to lead the business, holding over 70% of the combined company’s equity interests. Existing investment and operational processes will continue, a statement said.
Sacks said the transaction will give Chicago-based GCM Grosvenor added liquidity and financial flexibility, enabling it to increase its investment in the business. GCM Grosvenor has $57 billion under management currently.
“We believe that becoming a publicly listed company will benefit our clients, our team members and all of our stakeholders,” Sacks said.
The deal calls for private equity firm Hellman & Friedman to sell its minority stake in GCM Grosvenor, the statement said.
To contact the correspondent on this story: Rick Mitchell in Paris at rmitchell@correspondent.bloomberglaw.com
To contact the editor on this story: Chris Opfer in New York at copfer@bloomberglaw.com Rebekah Mintzer in New York at rmintzer@bloomberglaw.com
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