Reverence Seeks Buyer for $2.5B Stake in Osaic

osaic-city-scape.png News>Industry Reverence Seeks Buyer for $2.5B Stake in Osaic Reverence is seeking to sell up to 20% of Osaic, the broker/dealer network that rebranded from Advisor Group earlier this year.

(Bloomberg) -- Reverence Capital Partners, the financial-services focused private equity group, is seeking buyers for a minority stake in Osaic, the network of wealth management firms formerly known as Advisor Group, people familiar with the matter said. 

Reverence is seeking to sell up to 20% of Osaic, a stake that could be worth as much as $2.5 billion, according to the people, who asked not to be identified discussing confidential information. Deliberations are ongoing and Reverence may yet opt to sell a larger holding, one of the people said.  

Related: Osaic Consolidation Drives Record Recruiting

A representative for Reverence declined to comment.

“Reverence is and continues to be an incredible long-term partner to Osaic,” Osaic Chief Executive Officer Jamie Price said in an emailed statement. “With the success we’ve had as a firm, we consistently have interest from other investors looking to invest.”

Related: Advisor Group's New Brand Name: Osaic

One of the largest independent broker/dealers in the US, Osaic has grown rapidly in recent years thanks in part to acquisitions including Ladenburg Thalmann in 2020. Broker/dealers help money managers that own their own practices with back-office functions such as custody and clearing, among other services. 

Osaic used to be a division of American International Group Inc., which sold the business to Lightyear Capital in 2016. Reverence agreed to buy it three years later. 

The company rebranded as Osaic in June as part of a plan to unite its eight wealth-management businesses into one entity supporting more than 11,000 financial professionals, it said in a statement at the time. 

Reverence Capital provides private equity and structured-capital to middle-market companies. It was founded in 2013 by Milton Berlinski, Peter Aberg and Alex Chulack. 

TAGS: Advisor Channels 0 comments Hide comments Comment * Switch to plain text editor

More information about text formats

Text format CommentsPlain text Comments
  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>
Plain text
  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
PublishLog in or register to comment Save Leave this field blank Related Sponsored

Owl Media Group takes pride in providing social-first platforms which equally benefit and facilitate engagement between businesses and consumers and creating much-needed balance to make conducting business, easier, safer, faster and better. The vision behind every platform in the Owl Media suite is to make lives better and foster a healthy environment in which parties can conduct business efficiently. Facilitating free and fair business relationships is crucial for any thriving economy and Owl Media bridges the gap and open doors for transparent and successful transacting. No advertising funds influence the functionality of our media platforms because we value authenticity and never compromise on quality no matter how lucrative the offers from advertisers may seem.

Originally posted on: https://www.wealthmanagement.com/industry/reverence-seeks-buyer-25b-stake-osaic