Consolidation in asset management is one of the industry's most important trends. When any industry enters a mature phase, consolidation brings the benefits of economies of scale, product depth, and broader services to meet client demands. We’ve seen a rising tide of merger activity in recent years, effecting both asset managers and allocators alike.My guests on today’s show are leaders of two organizations that announced mergers in October – Simon Krinsky, a Managing Partner at Hall Capital and Tim McCusker, CIO at NEPC. Hall announced a merger with Pathstone, adding its $45 billion in assets to Pathstone’s $100 billion. NEPC announced a sale of a majority stake in its firm to Hightower Holdings, adding NEPC’s $1.8 trillion of assets under advisement to Hightower’s $130 billion of assets under management. Both Hall and NEPC have been longstanding independent organizations that are selling to a partner backed by private equity owners.Simon and Tim walk through their rationale for the transactions, deal process from idea to signing, and opportunities and challenges going forward. The organizations share similarities in their long independent history, broad equity ownership, and investment capability, while also having significant differences in their new partners, incentive structure, and plan to service clients. Together, Simon and Tim offer an inside look at dealmaking in asset management.Take Capital Allocators Audience Engagement SurveyLearn MoreFollow Ted on Twitter at @tseides or LinkedInSubscribe to the mailing listAccess Transcript with Premium Membership

3G Capital's incredible success with Burger King, turning $1 billion into $28 billion. The owner-operator investing model and operational improvements were key. Discussion with Alex Behring and Daniel Schwartz covers the sourcing, deal dynamics, and business growth strategies.

Ben Harrison, Founder and Co-President of DealCloud, discusses how DealCloud's vertical software supports alternative investment professionals. Topics include deal sourcing, relationship and pipeline management, workflow efficiencies, organizing CRM, features of Deal Cloud solutions, transitioning from investor to entrepreneur in the deal business, and the growth and democratization of the private equity industry.

Chris and Rob Michalik are twin brothers and co-founders of Kinderhook Industries, a private equity firm specializing in middle-market businesses. They dive into their investment in Ironclad Environmental Services, a leader in industrial waste management. The conversation sheds light on strategic acquisition tactics and the importance of thorough due diligence. They share experiences from challenging negotiations and highlight the dynamics of teamwork in achieving long-term success in private equity, showcasing their unique approach to value creation.

Henk Hartong III, Chairman and CEO of Brynwood Partners, discusses the creation and performance of Hometown Food Company, the impact of COVID-19, tuck-in acquisitions, expansion of the Funfetti brand, marketing shifts, digitalization, acquisition strategies in the food industry, navigating COVID-19 challenges, and decision-making during uncertain times.

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Ignacio Jayanti, CEO of Corsair, discusses Corsair's target companies and the sourcing of TreviPay inside World Fuel Services. They also cover the diligence process, post-close operations, team building, balance sheet management, and the early performance and challenges of the deal.

David Perez, Co-Founder and Managing Partner at Avance Investment Management, discusses the Univista deal including its history, valuation, financing, and exit strategy. They also touch on organic growth, M&A opportunities, challenges in the insurance industry, and the shift to MGA. The episode concludes with insights on value creation, the exit strategy, and lessons learned in private equity.

Michael Fisch, founder and CEO of American Securities, a private equity firm, discusses their investment in Milk Specialties Global, the potential growth opportunities in the whey protein market, and the company's transition from a commodity supplier to a consumer product company. They also highlight the importance of diligence in their investment approach and achieving stability through shared vision and communication with management teams.

Greg Fleming, CEO of Rockefeller Capital Management, discusses the formation of Rockefeller Capital Management, tuck-in acquisitions of private wealth managers, development of strategic advisory, and recent recapitalization of RCM. They also talk about the challenges of connectivity in the strategic advisory component and the growth and scale of RCM across 45 cities. The negotiation process with Demeray investors, capital spending plans, and the role of private equity in building a successful business are also discussed.