Centerbridge said to be in talks to buy Advisor Group

Centerbridge said to be in talks to buy Advisor Group
Advisor Group's independent broker-dealer network in the U.S. has more than 7,000 advisers.
APR 23, 2019
By  Bloomberg

Centerbridge Partners is in talks to buy independent broker-dealer Advisor Group Inc. for more than $2 billion, according to people familiar with the matter. The private equity firm could reach a deal as soon as this week to acquire Advisor Group, said the people, who asked to not be identified because the matter isn't public. A deal hasn't been finalized and talks could fall through, the people said. The company, which has been working with an adviser to explore a sale, has drawn interest from other private equity firms and broker-dealers, the people said. In 2016, American International Group Inc. sold Advisor Group to private equity firm Lightyear Capital and the Public Sector Pension Investment Board of Canada. A representative for Lightyear declined to comment. Representatives for Advisor Group, Centerbridge and PSP didn't immediately respond to requests for comment. Advisor Group's independent broker-dealer network in the U.S. has more than 7,000 advisers offering sales, administrative, compliance support, technology and other wealth management services, according to its website. The company had $1.7 billion in gross revenue and $228 billion in assets under administration in 2018 — both increasing 20% from the previous year, according to a statement on its website. (More: From the C Suite with Advisor Group's Valerie Brown) The company's firms include FSC Securities, Royal Alliance, SagePoint Financial and Woodbury Financial. Centerbridge, based in New York, invests in private equity, credit and real estate. The firm had about $28 billion under management at the end of 2018, according to a statement this month.

Latest News

Former CFA Institute exec charged with embezzling almost $5M
Former CFA Institute exec charged with embezzling almost $5M

Ex-CMO accused of using the organization’s money to fund a luxury lifestyle.

'Not every RIA needs to sell to a big aggregator'
'Not every RIA needs to sell to a big aggregator'

Altruist founder and CEO Jason Wenk shares insights on the custodial platform's refresh, how it's striking a chord among entrepreneurial advisors, and what's ahead after its latest $152 million funding round.

Northern Trust vows continued independence after BNY report
Northern Trust vows continued independence after BNY report

Following Wall Street Journal reporting from unnamed sources, the Chicago-based financial giant stressed its commitment to "delivering long-term value to our stakeholders."

California advisor who took cash from cannabis client barred
California advisor who took cash from cannabis client barred

The advisor, Andrew Nash of El Capitan Advisors, used the funds to buy a house, according to the SEC.

Robo platform Wealthfront teases IPO plans
Robo platform Wealthfront teases IPO plans

The digital investment platform's announcement of a confidential submission to the SEC comes amid a broader trend of consumer fintech firms going to market.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.

SPONSORED Beyond the dashboard: Making wealth tech human

How intelliflo aims to solve advisors' top tech headaches—without sacrificing the personal touch clients crave