Treasury Group (Treasury) has acquired a 30 per cent stake in Evergreen Capital Partners, a Melbourne-based absolute return manager.
Treasury has acquired the stake in return for an upfront payment of $1.4 million plus a further deferred amount, dependent on Evergreen's business performance prior to 30 June 2014.
The stake builds upon the existing relationship since Treasury appointed Evergreen to assume management responsibility for the Ascot Fund in December 2011.
"Again we now have, within our portfolio, a hedge fund offering to offer to our investor clients," Treasury chief executive Andrew McGill told InvestorDaily.
The previous hedge fund offering, AR Capital Management, was effectively retired as a result of Treasury's restructuring in the first half of 2012.
McGill said that there are no plans for Treasury to increase its stake in Evergreen.
"This announcement is the full transaction contemplated at this point in time. There is really no plan to increase our stake," he said.
"We are always looking to add new boutiques and that ambition hasn't stopped now. We would expect to have further announcements in due course. We're definitely not stopping here."
Evergreen manages approximately $100 million in funds on behalf of high net-worth individuals, family offices and institutions.
Evergreen also has a property joint venture with Freehold Investment Management, which also has $70 million in funds under management.
