Federated Investors to Buy A Fund Group From ARM
May 17, 2011
PITTSBURGH -- Federated Investors said it reached an agreement in principle to acquire a set of six mutual funds with $230 million in assets known as the State Bond Group of Funds from ARM Financial Group Inc., Louisville, Ky.. The completion of the transaction is subject to the signing of a definitive agreement and to the approval of the shareholders of the State Bond Group. Terms weren't disclosed. Federated said that it plans to merge the $48 million State Bond Diversified Fund into the $900 million Federated American Leaders Fund. The $70 million State Bond Common Stock Fund will merge into the $275 million Federated Growth Strategies Fund. The $81 million State Bond Tax Exempt Fund and the $19 million State Bond Minnesota Tax Free Income Fund will be merged into Federated's $390 million Municipal Opportunities Fund. The $13 million State Bond U.S. Government & Agencies Securities Fund will be merged into the $1.4 billion Federated Fund for U.S. Government Securities. The $3 million State Bond Cash Management Fund will be merged into the $1.2 billion Automated Cash Management Trust. Federated Investors manages or administers assets of more than $90 billion in more than 250 mutual funds. ARM Financial specializes in the asset-accumulation business, with $6.6 billion in assets under management.
