Lehman buys money manager David J. Greene

BOSTON (Reuters) - Investment bank Lehman Brothers Holdings Inc LEH.N said on Wednesday it bought money manager David J. Greene and Co for an undisclosed sum.

The 70-year old family-owned and run money manager will bring roughly $2 billion in assets under management to Lehman's already $277 billion strong asset management division, the company said in a statement.

David J. Greene, which picks undervalued stocks for investors, will join the money management teams within Lehman's Neuberger Berman Private Asset Management group and concentrate on serving wealthy individuals.

The deal is expected to close in the third quarter.

The moves highlights the accelerated consolidation in the $12.3 trillion mutual fund industry at a time smaller players are struggling to find new clients and larger investment banks are eager to buy them up so they can offer clients a full menu of services from investment banking to asset management.

(Reporting by Svea Herbst-Bayliss; Editing by Andre Grenon)