Legg Mason Inc. is firing 62 Batterymarch Financial Management employees as it combines the affiliate with QS Investors, the global quantitative equity firm it's purchasing this year.
The employees will depart beginning in July, and 12 will join QS Investors, spokeswoman Mary Athridge said in an e-mail. The Baltimore money manager sent a letter to the state of Massachusetts providing notice under the Worker Adjustment and Retraining Notification Act, she said.
“We are committed to continuing to deliver alpha for our clients and have retained the necessary team members to ensure that the investment processes remain intact,” the company said in an e-mailed statement. “We have provided resources to the other talented professionals at Batterymarch and thank them for their professionalism during this transition time.”
Legg Mason is spending as much as $41 million to buy QS Investors, which split from Deutsche Bank AG in 2010, according to a regulatory filing in March. Batterymarch and Legg Mason Global Asset Allocation are being integrated into QS Investors, which has $5 billion in funds under management. The transaction, expected to close in the quarter ending June 30, will result in restructuring and transition costs of about $35 million.