BREAKING NEWS: GTCR to Take AssetMark Private in $2.7B Deal

AssetMark Financial Holdings, Inc. (AMK), a wealth management technology platform for financial advisors, will be acquired by private equity firm GTCR for $2.7 billion.

AMK shareholders will receive $35.25 per share in cash, while GTCR will acquire a 100% interest in the company. The transaction is expected to close in the fourth quarter of 2024.

AMK’s majority owner, Huatai Securities, has been looking for a buyer for its interest. Nanjing, China-based Huatai has backed AssetMark since 2016, when it purchased the company from private equity firms Genstar Capital and Aquiline Capital Partners for approximately $780 million.

Founded in 1980, Chicago-based GTCR has a history of investing in wealth management firms. The company bought a minority stake in CAPTRUST, a $900 billion Raleigh, NC-based RIA, in 2020.

The firm has invested more than $25 billion in over 280 companies, and currently manages $40 billion in equity capital.

“This transaction will deliver substantial value for our shareholders, support key elements of our strategy, and create new and exciting opportunities for our employees,” said Michael Kim, CEO of AssetMark. “In partnership with GTCR, we will continue to focus on expanding offerings for our clients with new product capabilities while maintaining our reputation for excellent client service.”

Concord, CA-based AssetMark has approximately $117 billion in assets on the platform serving over 9,300 financial advisors and more than 257,000 investors.

Morgan Stanley & Co. LLC served as financial advisor to AssetMark and Davis Polk & Wardwell LLP provided legal counsel. UBS Investment Bank and Barclays served as co-lead financial advisors to GTCR and are providing debt financing.