New York private equity firm Crestview Partners has purchased Victory Capital Management from KeyCorp. (NYSE: KEY) for $246 million.

Crestview teamed up with Victory’s employees for the deal, which is expected to close in the third quarter.

Victory will operate as an independent firm and maintain its headquarters in Cleveland. The investment advisory firm has $22.1 billion in assets under management.

Crestview has about $4 billion in capital under management. The company’s investments include Capital Bank Financial Corp., Core Media Group and Select Energy Services LLC. 

Victory was owned by financial services company KeyCorp., which plans to use the sale proceeds to repurchase sales of its common stock.

Morgan Stanley & Co. LLC acted as KeyCorp.'s financial adivser, and Sullivan & Cromwel LLP is legal counsel.

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