Financial Services Acquisitions in 2019

Alera Group acquired AMCORP, Inc., a San Antonio-based benefits consulting and financial planning firm, effective December 31, 2019. The deal expands Alera Group's presence in Texas and brings AMCORP's team and local client relationships into Alera's national platform; terms were not disclosed.

Sunsuper agreed to acquire a 25% interest in Macquarie Group's aircraft leasing business, Macquarie AirFinance. The deal follows a prior 25% investment by Dutch pension fund PGGM; Macquarie will continue to support and manage Macquarie AirFinance as its exclusive platform for aviation leasing.

Mercer Global Advisors, Inc. (Mercer Advisors) has acquired SD Financial Pathways, LLC, a Dearborn, Michigan-based wealth management firm serving about 85 households with roughly $100 million in AUM. SD Financial will consolidate into Mercer Advisors' Detroit office and founder Steven Deceuninck will join Mercer as part of the transaction.

Mercer Global Advisors, Inc. (Mercer Advisors) acquired Republic Wealth Advisors, LLC, a Houston-based fee-only registered investment advisory firm with approximately $230 million AUM. The deal brings Republic's co-owners and staff into Mercer and expands Mercer's Texas presence while providing succession and continuity for Republic's founders and clients.

Alerian has acquired S-Network Global Indexes, a publisher and developer of more than 300 proprietary and custom indexes. The deal expands Alerian's global indexing, analytics and data capabilities and results in index-linked AUM of roughly $20 billion across the combined suite of indexes.

First Eagle Investment Management has entered into a definitive agreement to acquire THL Credit, an alternative credit manager with roughly $17 billion in assets under management. The deal expands First Eagle’s alternative credit capabilities and scale, creating a combined platform with approximately $23 billion in assets under management and advisement upon closing.

MAI Capital Management, an independent registered investment adviser based in Cleveland, acquired Rodman Capital Management of Alliance, Ohio, in a deal that closed December 6, 2019. The acquisition adds more than $75 million of assets under management and brings David Rodman into MAI as Wealth Manager and Managing Director, expanding MAI's geographic footprint in Ohio.

Worldwide Facilities, a national wholesale insurance broker and managing general agent, has acquired Risk Management Advisory Group (RMAG), a managing wholesale broker focused on specialty personal and commercial lines in the U.S. Southeast. The deal expands Worldwide Facilities' geographic footprint and product offering, particularly in high-net-worth personal lines; financial advisor Marsh, Berry & Company served on the transaction.

Mercer Global Advisors (Mercer Advisors) acquired Adam Financial Associates, Inc. (AFA), a Boca Raton, Florida-based wealth management firm serving ~200 households with $190 million AUM. Mari Adam and her three-member team will join Mercer, expanding Mercer's Florida presence and increasing its total AUM to nearly $17.5 billion.

TPG Growth, Norwest Venture Partners and Evolvence India led a $33 million equity investment in Ess Kay Fincorp, a Jaipur-based non-bank finance company (NBFC) focused on commercial vehicle and small business lending across North and West India. The round — fully subscribed by existing investors — will support Ess Kay's next phase of growth, expanding its footprint, services and technology.

TAB Bank has acquired BAMFi’s $46 million BAM Capital Division working capital loan portfolio and will retain the Dallas-based operations and staff. BAMFi will continue to own its FactorCloud secured-lending SaaS product while divesting the lending portfolio so TAB can expand its working-capital offerings and presence in the Dallas/Ft. Worth market.

Broadridge Financial Solutions acquired ClearStructure Financial Technology to expand its asset management technology suite with private debt portfolio management capabilities. The acquisition integrates ClearStructure's Sentry platform into Broadridge's front-to-back SaaS offering to better serve asset managers, hedge funds and fund administrators seeking private markets functionality.

Investortools, a provider of fixed-income portfolio management and analytics software, has acquired Merritt Research Services, a leading municipal borrower data and research provider. The deal brings Merritt's dataset on thousands of municipal borrowers into Investortools' platform to expand data capabilities and deliver enhanced tools for fixed-income portfolio managers, traders and credit analysts.

Andera Partners' Winch Capital 4 fund, together with Auxiga's management team, has agreed to acquire Auxiga Group from the IK Small Cap I Fund (IK Investment Partners) in a management-led buyout financed with a unitranche from Barings. Auxiga Group, founded in Belgium and headquartered in Boulogne-Billancourt, is a market leader in inventory pledge and floor check services in France and Belgium and will pursue an international expansion and targeted build-up acquisitions under the new ownership.

ECI Partners portfolio company Make It Cheaper (MIC) has acquired Think Business Finance, a Chelmsford-based fintech commercial lending specialist that matches UK SMEs with lenders across asset-based, invoice finance, commercial property and unsecured lending. The bolt-on expands MIC's SME switching platform to include finance products; Think Business Finance's founders Jamie and Ian Stewart will remain to run the business.

MarketAxess Holdings Inc. completed the acquisition of LiquidityEdge on November 1, 2019 for approximately $150 million (about $100 million cash plus 146,450 shares of MarketAxess common stock). The purchase adds an electronic U.S. Treasuries marketplace and broker-dealer capabilities to MarketAxess' fixed-income trading platform, expanding its treasury trading and hedging capabilities for institutional clients and dealers.

Declaration Partners, the investment firm backed by David M. Rubenstein’s family office, has made a minority equity investment in Peaceable Street Capital to support the specialty finance firm’s growth strategy. The investment joins existing backers Orangewood Partners and SunBridge Capital and will help Peaceable Street expand its client relationships and scale its preferred equity real estate financing platform.

Kingsbridge Holdings LLC has acquired Technology Finance Corporation (TFC), a Scottsdale-based provider of IT equipment and software leasing and financing for small and mid-sized businesses. The deal, terms undisclosed, expands Kingsbridge's leasing platform and capabilities in the SMB IT leasing and vendor finance channels; Kingsbridge is majority-owned by private equity firm TZP Group.

Specialist Risk Investments Ltd (Specialist Risk Group) has acquired Square Mile Broking Ltd, a chartered insurance broker that places approximately £20m of premium and specialises in construction, waste/environmental and rail risks. The deal, supported by owner Pollen Street Capital, deepens Specialist Risk's specialist capability and expands its sector expertise and client coverage across manufacturing, professional services and food & drink.

Mitsui & Co. (U.S.A.), Inc. acquired a minority, non-controlling interest in the management firm of Capitala Group in a strategic partnership announced October 28, 2019. Terms were not disclosed; Capitala's existing management team remains in place while Mitsui USA brings global reach and access to Asian markets to support Capitala's growth and capabilities.

Rothschild & Co's Global Advisory business will acquire Livingstone's UK business, subject to FCA approval. The deal brings Livingstone's 34‑person UK team — a specialist provider of M&A, debt and special situations advice to UK lower mid‑market private and family‑owned companies — into Rothschild & Co to expand its UK lower mid‑market capability.

Integrity Marketing Group has completed the acquisition of Family First Life, an insurance marketing organization headquartered in Uncasville, Connecticut. The deal brings Family First Life's large agent network into Integrity's distribution platform to accelerate growth and better serve the senior life and annuity markets; Family First Life founder Shawn Meaike becomes an owner in Integrity.

Broadridge Financial Solutions has agreed to acquire Fi360, a provider of fiduciary-focused software, data and analytics for financial advisors and intermediaries. The acquisition expands Broadridge's wealth and retirement offerings by adding fiduciary and Reg BI capabilities, as well as Fi360's accreditation and training programs.

RedBird Capital Partners and Reverence Capital Partners have completed the acquisition of Vida Capital, Inc., a vertically integrated life settlements asset manager with $4.3 billion in assets under management. Vida's management, led by CEO Jeff Serra, invested alongside the buyers; the firms said the partnership will support platform growth and expansion into other non‑correlated asset classes following required regulatory approvals.

Broadridge Financial Solutions has acquired Shadow Financial Systems, a provider of multi-asset class post-trade solutions, adding capabilities across exchange-traded derivatives and cryptocurrency post-trade processing. The acquisition expands Broadridge's post-trade offering for exchanges, inter-dealer brokers and proprietary trading firms and brings Shadow's technology and expertise into Broadridge's global fintech platform.

Ally Financial has completed the acquisition of Health Credit Services (HCS), a Charlotte-based, technology-driven patient financing company that partners with medical providers to offer point-of-sale financing for procedures not covered by insurance. HCS, an FTV Capital portfolio company with approximately 85 employees, will operate as an indirect subsidiary of Ally Bank with its existing management team remaining in place.

Oak Hill Capital has acquired an equity stake in Mercer Advisors as part of a recapitalization in which current private equity owners Genstar Capital and Lovell Minnick Partners sold part of their holdings. Genstar will remain as an investor and partner; the transaction provides Mercer Advisors with additional capital to support service expansion, organic growth and strategic acquisitions.

Black Knight, Inc. acquired Compass Analytics, LLC, a San Francisco–based provider of mortgage secondary-market pricing, valuation and MSR analytics. The deal expands Black Knight's capital markets capabilities by adding Compass Analytics' CompassPoint PPE platform, MSR valuation tools and connectivity between lenders, investors and servicers.

Vital Recovery Services (VRS), a Fusion BPO Group company, has acquired the client portfolio of Nations Recovery Center (NRC). The deal transfers NRC's debt-collection clients across banking, commercial, medical and retail sectors to VRS as part of VRS/Fusion's ongoing growth-through-acquisition strategy.

Reverence Capital Partners agreed to buy Advisor Group, Inc. from Lightyear Capital and the Public Sector Pension Investment Board (PSP Investments) in a deal announced May 2019 and expected to close in Q3 2019. Lightyear and PSP will retain minority stakes and Advisor Group’s existing management (Jamie Price as CEO) will remain in place as the firm continues to grow its network of financial advisors and assets under administration.

Beech Tree Private Equity has made an investment in Avid Insurance Services, a UK-based managing general agent and specialist insurance intermediary with operations in Leeds and London. The capital will be used to accelerate Avid's organic growth and to support investment in new underwriting teams and complementary acquisitions, with Beech Tree partners joining the Avid board.

AE Industrial Partners announced that Bonaccord Capital Partners (a division of Aberdeen Standard Investments) and funds managed by Wafra each acquired passive minority interests in the firm. The investments provide capital to support AEI's growth initiatives and employee investments, and will not affect day-to-day management; financial terms were not disclosed.

Blackstone Alternative Asset Management (BAAM), through its Strategic Capital Group, acquired a passive minority investment in international private equity firm BC Partners. The minority investment provides BC Partners with additional balance sheet capital to support expansion of its private equity business and build out new capabilities such as real estate and private credit.

Funds affiliated with TA Associates have acquired the equity stake in Wealth Enhancement Group previously held by funds affiliated with Lightyear Capital LLC. Wealth Enhancement Group will remain privately held and independent under its existing leadership while the new partnership with TA Associates is intended to support accelerated organic growth and acquisition-led expansion; financial terms were not disclosed and the deal is expected to close in Q4.

Moody's Corporation has acquired RiskFirst, a UK-based FinTech provider of risk analytics and the PFaroe platform for pension funds and institutional investors. The deal expands Moody's Analytics' buy-side capabilities by integrating RiskFirst's technology and customer base; terms were not disclosed and Moody's said the acquisition would be accretive to EPS.

Equistone Partners Europe has agreed to acquire Moody's Analytics Knowledge Services from Moody's Corporation in a management-backed buyout. The business, headquartered in London and operating across nine delivery centres worldwide, will rebrand as Acuity Knowledge Partners and continue to be led by its incumbent management team, who invested alongside Equistone.

Funds managed by Stone Point Capital acquired a majority interest in First Associates Loan Servicing and will combine its operations with Stone Point portfolio company Portfolio Financial Servicing Company (PFSC) to form a larger loan- and lease-servicing platform. The transaction is a recapitalization intended to expand servicing capabilities across consumer and commercial loan markets and accelerate growth through combined technology, capital-markets and compliance expertise.

PCS Retirement, LLC acquired Aspire Financial Services to combine their retirement recordkeeping platforms. The deal creates a roughly 300-person organization serving about 16,000 plans and 750,000 eligible participants with approximately $23 billion in assets under administration, aiming to offer a full-suite, conflict-free retirement platform to advisors, TPAs and plan sponsors.

Francisco Partners has sold a minority stake to Blackstone's Strategic Capital Group and Goldman Sachs Asset Management's Petershill program to provide balance-sheet capital to expand its platform and increase commitments to its funds. Terms were not disclosed; Evercore served as financial advisor and legal counsel teams were named for the parties.

Investcorp Credit Management US LLC agreed to acquire a majority ownership interest in CM Investment Partners LLC (CMIP) from funds managed by Cyrus Capital Partners and Stifel Venture Corp, with CMIP co‑CIOs Michael Mauer and Christopher Jansen retaining a minority stake. Simultaneously, Investcorp BDC Holdings Limited entered a stock purchase agreement to acquire up to 10% of CM Finance Inc. over a two‑year period; the transaction was expected to close in Q3 2019 subject to customary regulatory approvals.

Investment funds affiliated with Lightyear Capital and the Ontario Teachers' Pension Plan agreed to acquire Lendmark Financial Services from private equity funds managed by The Blackstone Group. The senior management team will remain in leadership and as shareholders; the transaction was expected to close in H2 2019 subject to regulatory approvals.

Pittsburgh-based private equity firm Incline Equity Partners has acquired Brown & Joseph, a commercial accounts receivable management and collections firm headquartered in Itasca, Illinois. The transaction is a buyout of LaSalle Capital's portfolio company; Brown & Joseph's CEO Mark Schabel will remain in place and Incline plans to expand capabilities, enter new markets and pursue add-on acquisitions.

Trivest Partners has completed a recapitalization of A. G. Adjustments Ltd., a Melville, New York-based accounts receivable management firm. Founders Robert and Marc Gerstel will remain in leadership while the transaction provides liquidity to the family and capital to support further professionalization and organic and acquisitive growth; terms were not disclosed.

TPG has signed a definitive agreement to make a non-controlling strategic investment in Harlem Capital Partners, committing capital to HCP Fund I to help scale the firm, enhance operating capabilities, and support its portfolio. Terms were not disclosed; the investment is a minority, growth-oriented stake intended to accelerate Harlem Capital's mission of backing diverse founders.

Warburg Pincus completed its acquisition of Banca Monte Paschi Belgio (BMPB), the Belgian banking subsidiary of Banca Monte dei Paschi di Siena, after receiving approvals from the National Bank of Belgium and the European Central Bank. The global private equity firm said it will work with BMPB management to transform and grow the bank's proposition for its Belgian customer base.

Baird Capital has made a minority (growth) investment in AEGIS Energy Risk to support expansion of AEGIS' fintech capabilities and the FLOW platform into oil & gas producers and energy capital providers. Benedict Rocchio, a Partner at Baird Capital, joined AEGIS' board as part of the investment. The capital will be used to accelerate AEGIS' fintech product development and broader advisory offerings in energy derivatives and risk management.

Intercontinental Exchange, Inc. (ICE) completed the acquisition of Simplifile LC for $335 million. Simplifile — the largest e-recording network connecting lenders, settlement agents and county recording offices across the U.S. — will join ICE Mortgage Services to accelerate digital transformation of residential mortgage recording and related services.

QuinStreet, Inc. acquired personal finance website MyBankTracker.com to expand its consumer-facing personal finance portfolio and deepen its editorial and research capabilities in the banking space. MyBankTracker, which tracks more than 5,000 banks and attracted roughly 7.5 million visitors in 2018, will complement QuinStreet’s existing financial services properties and client network.

Ascensus acquired United Retirement Plan Consultants (URPC) from Stonehenge Partners in June 2019. The transaction, terms undisclosed, adds URPC's national retirement plan design, consulting and administration capabilities — including 12 U.S. sales/service centers and a processing center in India — to Ascensus's recordkeeping and TPA platform.

Bonaccord Capital Partners (a division of Aberdeen Standard Investments) acquired a passive, non-voting minority stake in MSouth Equity Partners to provide capital supporting the firm’s future growth and strategic initiatives. Terms were not disclosed; the investment is intended as a long-term, non-control partnership and BCP will not participate in MSouth’s operating or investment decisions.