Virtus Investment Partners Agrees To Acquire Majority Interest In Keystone National Group For Consideration Of $200M At Closing And Up To Additional $170M Of Deferred Consideration

Expands Capabilities into Private Markets with a Differentiated Offering Focused on Asset-Backed Lending

Virtus Investment Partners, Inc. (NYSE:VRTS), which operates a multi-manager asset management business, today announced it has entered into a definitive agreement to acquire a majority interest in Keystone National Group ("Keystone"), an investment manager specializing in asset-centric private credit and a pioneer in providing such strategies to the wealth channel. The transaction expands Virtus' offerings into private markets with the addition of a differentiated asset-backed lending capability.

Under the Agreement, Virtus would purchase a majority interest in Keystone for consideration of $200 million at closing and up to an additional $170 million of deferred consideration, including earnout payments subject to the achievement of future revenue targets. Virtus expects to finance the transaction using existing balance sheet resources.

Keystone's management team will retain meaningful equity in Keystone and the managing partners will enter into long-term employment agreements. As a Virtus investment manager, Keystone will retain autonomy over its investment process and day-to-day activities, as well as preserve its culture and brand identity.

The transaction is expected to close in the first quarter of 2026, subject to customary closing conditions, including approval by the KPIF fund board and fund shareholders, and is expected to be accretive to earnings in 2026.