Decades old investment-advisory firm regains its independence. As expected, a group of employees of Neuberger Berman have completed their acquisition of 51% of the firm from Lehman Brothers -- or rather the holding company set up to parcel out Lehman Brothers' assets for the benefit of its creditors -- which retains 49% of the business.

Lehman Brothers filed for bankruptcy protection last September.

Clean slate

The 200 employee-owners -- led by Neuberger Berman chairman and CEO George Walker (a first cousin of former U.S. president George Bush) -- pulled off a last-minute victory in their late-2008 run for Neuberger Berman by, apparently, topping a $2.15-billion bid from private-equity firms Bain Capital Partners and Hellman & Friedman to acquire a majority stake in Neuberger Berman and the fixed-income and alternative asset-management businesses of Lehman Brothers' investment-management division.

Neuberger Berman is starting with no debt and more than $200 million in cash.

"We are thrilled to begin this new chapter in Neuberger Berman's rich investment history," says Walker. "Our newly independent company offers enduring qualities for all investment seasons: deep experience, solid performance, and a lasting partnership with our clients."

New York-based Neuberger Berman was established 70 years ago. Lehman Brothers acquired it in 2003 for about $2.63 billion in cash and stock. It had $155 billion under management at the end of March 2009 -- 22% of that for high-net-worth clients, 58% for institutional clients; the rest distributed by outside intermediaries. -FWR

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