The Globe and Mail reports in its Tuesday edition that AGF Management is expanding its alternative asset business by acquiring a 51-per-cent share of private equity fund manager Kensington Capital Partners for $45-million. The Globe's Andrew Willis writes that AGF announced Monday that it will double the size of its private capital division by acquiring control of Kensington, an employee-owned company with $2.6-billion of funds that invests in venture capital and small to mid-sized businesses. AGF oversees $41.8-billion of client assets, mainly in mutual funds. AGF, founded in 1957, began offering clients alternative assets such as infrastructure funds 10 years ago. Two years ago, the company hired Brookfield Asset Management veteran Ash Lawrence as the head of its private capital group, with a mandate to expand the business by acquiring fund managers. Kensington chairman and founder Tom Kennedy said his firm decided to sell a control stake to AGF to expand the asset manager's distribution network and raise capital for new private equity funds. A former investment banker, Mr. Kennedy has relationships with AGF that date back 40 years. "We've always admired AGF's approach to investing," he told The Globe.