Focus Financial Partners eyes new growth as $7B take-private completes

Focus Financial Partners is looking ahead to a new era of growth following its acquisition by funds affiliated with Clayton Dubilier & Rice and Stone Point Capital.

The deal which takes Focus off the public market — it was previously listed on the Nasdaq — and into private hands was first reported by InvestmentNews in February and completed last week in an all-cash transaction for an enterprise value in excess of $7 billion.

Focus is a leading buyer and aggregator of RIA firms, allowing them to operate independently while enjoying economies of scale and back-office resources. It will now have a substantial injection of dry powder to fuel its growth.

"We are thrilled to mark this significant achievement in Focus's journey," said Rudy Adolf, founder and CEO of Focus. "Our partnership with CD&R and Stone Point opens doors to new opportunities, enhanced resources, and increased value for our partner firms and their clients. We look forward to this next chapter of growth and evolution."

EXCITING FUTURE

Dan Glaser, chairman of Focus and an operating partner at CD&R, paid tribute to the business that Focus has built.

"We are excited to work alongside the Focus leadership team to build on the tremendous foundation they have already established by investing in the Company's capabilities, operations and talent within Focus and across its partner firms," he said. "We have deep appreciation for the entrepreneurial flair that exists within Focus, and we look forward to weaving the partnership closer together with a common purpose, shared capabilities and greater collaboration."

Meanwhile, Fayez Muhtadie, managing director and co-head of private equity at Stone Point, added that there are exciting opportunities for growth ahead.

"We look forward to continuing to work with the Focus team as they take advantage of the enhanced financial and operating flexibility they will have as a private company," he said. "As a leader in independent wealth management, Focus is uniquely positioned to capitalize on the trends driving industry growth and consolidation."