Custodial rivals were watching closely, hoping to scoop up assets in any post-merger turbulence. Industry observers expect a small wave of follow-on deals from competitors. The combined entity is expected to manage just over four billion dollars when the transaction closes. Both sides described the transaction as transformational, but neither would discuss financial terms on the record. The transition team has been on site since Tuesday, walking through technology integration with the home-office staff.
The transition team has been on site since Tuesday, walking through technology integration with the home-office staff. Regulatory filings are not expected to slow the timeline; the deal is expected to close in the third quarter. Talent retention will be the principal concern, executives said in an internal memo reviewed by InvestLin. It is the kind of deal that says less about price than about positioning for the next cycle.
The detail
Compensation for the senior partners is rumored to be tied to a five-year retention schedule. 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. Both sides described the transaction as transformational, but neither would discuss financial terms on the record. The deal is the latest in a wave of consolidation that has reshaped the channel over the past three years.
“Texas remains the single best lateral market in the country for senior teams.” Hightower deal lead
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. Industry observers expect a small wave of follow-on deals from competitors. The transition team has been on site since Tuesday, walking through technology integration with the home-office staff.
What it means for advisors
The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. Compliance staff inside the acquirer have been preparing for the integration since early March. Regulatory filings are not expected to slow the timeline; the deal is expected to close in the third quarter. 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 deal is the latest in a wave of consolidation that has reshaped the channel over the past three years.
- Insiders say the firm has been quietly building out its alternatives platform since last summer. It is the second strategic acquisition the buyer has closed this quarter and its largest by AUM.
- Insiders say the firm has been quietly building out its alternatives platform since last summer. Custodial rivals were watching closely, hoping to scoop up assets in any post-merger turbulence.
The transaction values the firm at roughly twelve times trailing EBITDA, according to people familiar with the matter. The deal is the latest in a wave of consolidation that has reshaped the channel over the past three years. The combined entity is expected to manage just over four billion dollars when the transaction closes. Regulatory filings are not expected to slow the timeline; the deal is expected to close in the third quarter.
