Carlyle Takes Minority Stake in CAPTRUST Financial Advisors

Private equity behemoth The Carlyle Group acquired a minority interest in Captrust Financial Advisors, valuing the rapidly expanding $832 billion wealth management firm at more than $3.7 billion.

Carlyle will join GTCR, a private equity firm that invested in CAPTRUST in 2020, as a minority partner. As part of the deal, neither GTCR nor any of CAPTRUST’s executive leadership teams will sell secondary shares.

The equity will be used to continue CAPTRUST’s acquisition strategy.

Over the past three years, Raleigh, NC-based CAPTRUST has grown through the addition of 29 firms that broadened the company’s capabilities and geographic footprint and fueled the firm’s organic growth.

“CAPTRUST is one of the premier brands within the RIA industry, with a deep bench of expertise and resources that support a premium and ever-expanding service model,” said Jim Burr, Head of Global Financial Services at Carlyle.

Fielding Miller, co-founder and CEO of CAPTRUST, will continue to oversee the company and will be the largest individual stakeholder. CAPTRUST also boasts one of the industry’s most extensive employee ownership programs. More than half of CAPTRUST employees are currently involved in one or more of the firm’s equity initiatives.

CAPTRUST has almost 1,500 staff spread across 85 locations nationally (as of June 30, 2023), including just over $688 billion in nondiscretionary assets under advisement and just over $143 billion in discretionary managed account assets.

Ardea Partners LP served as exclusive advisor to CAPTRUST. Alston & Bird LLP served as CAPTRUST’s legal counsel. J.P. Morgan served as lead advisor to Carlyle. Simpson Thacher & Bartlett LLP served as Carlyle’s legal counsel. Kirkland & Ellis LLP served as legal advisor to GTCR.