SunTrust Banks announced it has reached a definitive agreement to sell the company's asset management subsidiary, RidgeWorth Capital Management to RidgeWorth employees and an investor group led by a private equity fund managed by Lightyear Capital . " Lightyear Capital is an experienced partner that will help RidgeWorth build on its success in growing third-party assets, and we look forward to continuing our relationship with RidgeWorth as an independent asset management business," said Mark A. Chancy , Wholesale Banking executive at SunTrust . Chancy noted that SunTrust will continue to offer a wide variety of asset management solutions to help its institutional and individual clients with their investment needs. According to a release, the sale is expected to close during the second quarter of 2014. It is subject to various, customary closing conditions including consents of certain RidgeWorth investment advisory clients. RidgeWorth and its five institutional asset management boutiques collectively manage approximately $50.6 billion in assets. SunTrust had $189.4 billion in assets under advisement at September 30 . As of September 30 , RidgeWorth contributed approximately $25 million to SunTrust's year-to-date net income. The sale price consists of up to $245 million to be paid at closing with the potential for up to $20 million in additional proceeds based on retention of certain assets. SunTrust estimates the after-tax gain on the transaction to be $50 million . Credit Suisse and SunTrust Robinson Humphrey acted as financial advisors, and Sullivan and Cromwell provided legal advice to SunTrust on the transaction. SunTrust Banks is a banking organization. More Information: www.suntrust.com ((Comments on this story may be sent to firstname.lastname@example.org ))
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