The best-known mutual fund rating firm is expanding its investment management operations.[@@]
The firm, Morningstar Inc., Chicago, says it has agreed to acquire Ibbotson Associates Inc., Chicago, an investment strategy firm, for $83 million in cash, “subject to adjustments for working capital and certain make-whole payments.”
Morningstar hopes to close on the Ibbotson deal by March 31, 2006.
“This acquisition is a logical move that will further strengthen Morningstar’s institutional and advisor businesses,” says Morningstar Chairman Joseph Mansueto.
Completing the Ibbotson deal would make Morningstar one of the largest independent providers of managed retirement accounts in the industry, Morningstar says.