US-based Nuveen to buy UK's Schroders for $13.5 billion

LONDON, Feb 12 (Reuters) - British money manager Schroders SDR.L said on Thursday it had agreed to be bought by U.S. asset manager Nuveen for 9.9 billion pounds ($13.50 billion), while the founding family would sell-up, in the end of an era for the 222-year-old firm.

Schroders' shareholders will receive 590 pence per share in cash plus permitted dividends of up to 22 pence, valuing the company at 612 pence per share - a 34% premium to Wednesday's closing price, according to LSEG data.

Nuveen, backed by the Teachers Insurance and Annuity Association of America, said the deal would create a leading public-to-private platform with enhanced geographic reach across the Americas, Europe and Asia-Pacific.

Nuveen said it has received irrevocable undertakings in support of the deal from Schroders' principal shareholder group, which controls 41% of shares through various family trusts.

"The board of Schroders is confident that this is the right step for our shareholders, clients and people," Schroders Chair Elizabeth Corley said in a statement.

BNP Paribas was sole financial adviser to Nuveen, with Wells Fargo and Barclays advising Schroders.

Separately on Thursday, Schroders also reported adjusted operating profit of 756.6 million pounds for 2025, up 25% from a year earlier.

Schroders CEO Richard Oldfield will continue to lead the firm after the deal closes, with London serving as the combined group's non-U.S. headquarters.

($1 = 0.7334 pounds)