Aquiline Capital Partners LLC and Genstar Capital have put Altegris, a provider of alternative investment strategies, up for sale, three banking and private equity sources said.
Freeman & Co is advising on the auction, the people said. First-round bids for Altegris are due next week and the company may fetch $50 million to $100 million, the people said.
Genworth Financial Inc bought Altegris, of La Jolla, California, for $35 million in 2010.
Three years later, in 2013, Aquiline and Genstar acquired Genworth Wealth Management from Genworth in a deal valued at $412.5 million. The deal included Altegris. Genworth Wealth Management later became known as AssetMark Inc.
Huatai Securities in April agreed to buy AssetMark for $780 million, or 13x EBITDA, Buyouts reported. Aquiline and Genstar were the sellers. Altegris was not part of that transaction.
While $100 million may seem low, Genstar and Aquiline did so well on the AssetMark sale that they view Altegris as “icing on the cake,” a source said.
Freeman and Genstar declined comment. Altegris and Aquiline could not be reached for comment.
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A couple looks out at the ocean as they sit under a tree in La Jolla, California, January 8, 2013. Photo courtesy Reuters/Mike Blake