Stilwell Financial to Increase Stake in Janus to 88.7%

Stilwell Financial(SV Quote) said it would purchase 600,000 Janus Capital common shares from Thomas H. Bailey, the chairman, president, CEO and founder of the mutual fund group.

Stilwell, which is based in Kansas City, Mo., will own 88.7% of Janus after closing the acquisition.

The transaction represents about 6.2% of the Janus shares outstanding, and about half the shares Bailey owns. When the deal closes, Bailey will own about 6% of Janus. He will continue to serve the company in his current capacities.

Stilwell expects to close the transaction within 30 days. The company's shares were down $2.06, or 4.8%, to $41.38 in recent New York Stock Exchange trading.