Two Illinois-based registered investment advisers are combining to create an $8 billion advisory firm that will operate as Savant Capital Management.
Rockford, Ill.-based Savant, founded in 1993, has $6 billion in client assets and is acquiring Lincolnshire, Ill.-based Huber Financial Advisors, which manages approximately $2 billion in client assets.
The two firms combine for more than 200 employees and 17 offices, mostly in the Chicago area. But there are no immediate plans for consolidating offices, according to Brent Brodeski, Savant co-founder.
Even though the two firms are headquartered only about an hour apart and are familiar with one another, Mr. Brodeski said the “partnering” of the two firms brings together unique strengths.
He cited, for example, Huber’s special expertise in the area of adviser training and development, as well as behavioral finance.
“Huber has also had success in the custodial referral programs,” Mr. Brodeski said. “And we’ve got an accounting firm where we do a couple of thousand tax returns a year. We also have deep business succession planning expertise. At the end of the day, there is significant alignment around culture, philosophy, and geography.”
Huber, founded in 1988, will integrate its leadership team into Savant’s executive team, expanding to 70 the total number of employee-owners of the combined RIA.
The deal, which is expected to close by the end of March, will be Savant’s tenth transaction in its 27-year history.
Six of those deals were done prior to a 2016 recapitalization that sold minority ownership of Savant to The Cynosure Group, a Utah-based family office and private equity investor.
“Savant is one of the major leaders in the Midwest and is continuing their brand reach and footprint with the purchase of Huber Financial Advisors,” said Carolyn Armitage, managing director at Echelon Partners.
“We’re seeing the crossover from the multi-family office space into the wealth management space, particularly with the firms who serve high-net-worth families, as we are seeing the uptick in owner’s willingness to sell across the industry,” she added.
David DeVoe, managing partner at DeVoe & Co., described the deal as “a great combination.”
“The two firms share investment philosophies and have a similar approach to client service,” he added.
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