Private equity firm Bain Capital has announced its acquisition of Envestnet in a significant $4.5 billion deal, disclosed by the financial software vendor on Thursday.
Envestnet, headquartered in Berwyn, Pennsylvania, specializes in providing software solutions for wealth managers and data services for financial institutions and investment research firms. The company boasts a client base that includes 16 of the top 20 US banks and 48 of the largest wealth management and brokerage firms.
Bain Capital’s offer of $63.15 per share in cash represents a premium over Envestnet’s recent stock price of $63.07 prior to the deal’s announcement, as reported by Reuters earlier this week.
The acquisition comes amidst a period of transition for Envestnet, following leadership changes and recent strategic collaborations with industry giants such as BlackRock, Fidelity Investments, Franklin Templeton, and State Street Global Advisors to develop customized investment strategies.
In 2022, Envestnet explored potential sale opportunities after receiving interest from prospective buyers, with renewed sale talks reported by Reuters in April this year.
