Reverence Capital Companions is near signing a definitive deal to purchase a majority stake in unbiased dealer/supplier community Advisor Group, in accordance with a report by Bloomberg this morning.
Reverence Capital was considered one of a number of personal fairness bidders within the operating to amass the b/d community from Lightyear Capital. Centerbridge Companions was additionally reportedly in talks to purchase the agency. The Reverence deal values the agency at someplace between $2 to $2.5 billion, in accordance with sources inside the funding banking group. Genstar Capital, which owns Cetera Monetary Group, made an 11th hour try and bid for the agency, in accordance with those self same sources, however their provide remained far beneath the valuation Lightyear sought and they have been instantly rebuffed.
Lightyear Capital will retain a minority stake within the firm of 5 to 15%, those self same sources indicated.
On its web site, Reverence Capital says it focuses on a "broad spectrum of middle-market monetary providers corporations." Its present investments embrace monetary corporations with prospects throughout quite a lot of sectors, like CardWorks, Kabbage, VictoryCapital, Transact and Venerable.
Spokespeople for Advisor Group and Reverence Capital Companions couldn't instantly be reached for remark.
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