Bain Capital Closes On Envestnet Acquisition

Envestnet has now transitioned to being a private company after Bain Capital closed its acquisition deal for about $4.5 billion. This major technology powerhouse, which serves more than 500 of the largest RIA firms across the nation, with over 111,000 advisors and $6.5 trillion in total assets, has been taken private from the New York Stock Exchange.

The acquisition was enthusiastically supported by stockholders, with over 99% of them voting in favor of the merger at a special meeting in September. Besides Bain Capital, Reverence Capital, Norwest, and other strategic partners like BlackRock, Fidelity Investments, Franklin Templeton, and State Street Global are involved in this deal. Although Envestnet’s CEO, Bill Crager, had earlier resigned, Jim Fox stepped in as the interim CEO, with his contract recently extended to the end of January 2025.

Despite ongoing CEO search efforts, Envestnet has been actively working on forming partnerships, making integrations, and expanding its managed account offerings. Recently, Axos Clearing, the clearing and custody division of Axos Financial, announced a key partnership with Envestnet to utilize its managed account technology. This shift marks an exciting new chapter for Envestnet, laying the groundwork for even further growth and strengthening its position as a leading wealth management platform.