TWC to buy MetWest

The TCW Group Inc. announced late today it is purchasing Metropolitan West Asset Management LLC. TCW has about $110 billion in assets under management, and MetWest Asset has approximately $30 billion in assets under management. Key MetWest investment professionals will immediately assume portfolio management responsibilities for all of TCW's high-grade fixed-income client accounts, TCW said in a statement. But TCW did announce that Jeffrey Gundlach has been relieved of his duties as TCW's chief investment officer and lead portfolio manager of the firm's high-grade fixed income funds and accounts. Mr. Gundlach was also removed from TCW's board of directors. In the statement, TWC said it “deeply regrets the need to take this action.” David Lippman, MetWest partner and chief executive officer, will take over Mr. Gundlach's role. Mr. Lippman, who will become group managing director, will head TCW's high-grade fixed-income business. In addition, he will join The TCW Group board of directors. The transaction, which is subject to receipt of all required regulatory approvals, is expected to close during the first quarter of 2010. The financial terms of the agreement were not disclosed.