Schorsch's RCS Capital gets regulatory clearance for Cetera Financial deal

$1.15 billion acquisition, announced in January, expected to close in the next several days

Apr 28, 2014 @ 11:01 am

By Bruce Kelly

RCS Capital Corp. said Monday that regulators had approved its $1.15 billion acquisition of Cetera Financial Holdings Inc., clearing a major hurdle in the pending deal.

The Financial Industry Regulatory Authority Inc. last week gave its OK for RCAP to acquire the four broker-dealer subsidiaries of Cetera, granting final approval of the change of ownership in connection with RCAP's announcement in January of the acquisition, which involves close to 6,600 registered reps and advisers.

RCAP expects to close the Cetera acquisition in the next several days, according to a company statement.

RCS Capital and related companies, along with executive chairman of the board Nicholas Schorsch, have spent the better part of the past year making five deals for nine separate broker-dealers that together house 8,900 reps and advisers. The four broker-dealers underneath the Cetera brand are the most prominent so far. In total, the broker-dealers generated $1.7 billion in revenue last year and had $202 billion in assets under administration.

0
Comments

What do you think?

View comments

Recommended for you

Sponsored financial news

Featured video

Events

How 401(k) advisers can use 'centers of influence' to grow their business

Leveraging relationships with accounting, benefits, and property and casualty insurance firms can help deliver new business leads for retirement plan advisers.

Latest news & opinion

Things are looking up: IBDs soared in 2017

With revenue up, interest rates rising and regulation easing, IBDs are soaring.

SEC advice rule may give RIAs leg up over broker-dealers

Experts say advisers will be able to point to their role as fiduciaries as a differentiator in the advice market.

Brokers accept proposed SEC rule on who can call themselves an adviser

Some say the rule will clear up investor confusion, but others say the SEC didn't go far enough.

SEC advice rule: Here's what you need to know

We sifted through the nearly 1,000-page proposal and picked out some of the most important points.

Cadaret Grant acquired by private-equity-backed Atria

75-year-old owner Arthur Grant positions the IBD for the 'next 33 years.'

X

Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print