Virtus Investment Partners to Add Keystone National Group as Investment Manager

Core Viewpoint - Virtus Investment Partners has announced a definitive agreement to acquire a majority interest in Keystone National Group, expanding its offerings into private markets with a focus on asset-backed lending strategies [1] Group 1: Transaction Details - The acquisition involves a purchase price of $200 million at closing, with an additional potential $170 million in deferred consideration based on future revenue targets [1] - The transaction is expected to close in the first quarter of 2026, subject to customary closing conditions [1] - Virtus plans to finance the acquisition using existing balance sheet resources [1] Group 2: Keystone National Group Overview - Keystone National Group, established in 2006, specializes in asset-centric private credit and has over 20 years of experience managing private credit assets [1][2] - As of October 31, 2025, Keystone managed $2.5 billion and has deployed over $6 billion in more than 750 transactions [1] - Keystone's flagship fund, the Keystone Private Income Fund (KPIF), has $2.0 billion in assets and is recognized for its stable investment performance [1] Group 3: Management and Operations - Keystone's management team will retain significant equity and enter into long-term employment agreements post-acquisition [1] - Keystone will maintain autonomy over its investment process and day-to-day operations, preserving its culture and brand identity [1] - The firm employs approximately 40 individuals and operates from Salt Lake City, Utah [2]