The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. It is the kind of deal that says less about price than about positioning for the next cycle. Industry observers expect a small wave of follow-on deals from competitors. Both sides described the transaction as transformational, but neither would discuss financial terms on the record. Custodial rivals were watching closely, hoping to scoop up assets in any post-merger turbulence.
It is the second strategic acquisition the buyer has closed this quarter and its largest by AUM. It is the kind of deal that says less about price than about positioning for the next cycle. Clients have been notified by letter and an email follow-up; the firm expects minimal attrition. Both sides described the transaction as transformational, but neither would discuss financial terms on the record.
The detail
Compliance staff inside the acquirer have been preparing for the integration since early March. Custodial rivals were watching closely, hoping to scoop up assets in any post-merger turbulence. Compensation for the senior partners is rumored to be tied to a five-year retention schedule. Insiders say the firm has been quietly building out its alternatives platform since last summer. Clients have been notified by letter and an email follow-up; the firm expects minimal attrition.
“We have the rails. The next chapter is what you build on top.” Incoming CEO
Industry observers expect a small wave of follow-on deals from competitors. Clients have been notified by letter and an email follow-up; the firm expects minimal attrition. The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. Talent retention will be the principal concern, executives said in an internal memo reviewed by InvestLin.
What it means for advisors
Clients have been notified by letter and an email follow-up; the firm expects minimal attrition. The combined entity is expected to manage just over four billion dollars when the transaction closes. It is the kind of deal that says less about price than about positioning for the next cycle. Insiders say the firm has been quietly building out its alternatives platform since last summer.
- Compensation for the senior partners is rumored to be tied to a five-year retention schedule. It is the second strategic acquisition the buyer has closed this quarter and its largest by AUM.
- The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. Both sides described the transaction as transformational, but neither would discuss financial terms on the record.
- Talent retention will be the principal concern, executives said in an internal memo reviewed by InvestLin. The deal is the latest in a wave of consolidation that has reshaped the channel over the past three years.
It is the second strategic acquisition the buyer has closed this quarter and its largest by AUM. Industry observers expect a small wave of follow-on deals from competitors. Both sides described the transaction as transformational, but neither would discuss financial terms on the record. The combined entity is expected to manage just over four billion dollars when the transaction closes.
