Wealth Partners Capital Group and HGGC have agreed to invest in Warren Averett Asset Management, a wealth management firm. No financial terms were disclosed.
BIRMINGHAM, Ala., PALM BEACH, Fla. and PALO ALTO, Calif — November 18, 2021 — Warren Averett Asset Management (“WAAM”), an independent wealth management firm, today announced it has entered into a definitive agreement to secure a new equity investment from Wealth Partners Capital Group (“WPCG”), a financial services holding company, and HGGC, a firm focused on partnership investing. The management team of WAAM will remain meaningful shareholders as part of this transaction and the parent company, Warren Averett CPAs & Advisors (“Warren Averett”), will retain a minority stake.
Founded in 1999 in Birmingham, Alabama, as a wholly-owned subsidiary of Warren Averett, WAAM is a registered investment adviser (“RIA”) that offers holistic wealth management services to a diverse group of clients including high net worth individuals, families, corporate retirement plans, trusts, endowments, and institutions. As one of the leading RIAs in the U.S., WAAM has grown to over $4 billion of assets under management.
The partnership with WPCG and HGGC will allow WAAM to continue both its organic growth and its expansion via M&A. WAAM is focused on acquiring like-minded wealth management firms and advisors, with a particular emphasis on those firms with a CPA-orientation and/or a location in the Southeast, where WAAM already enjoys a strong regional presence and a history of successful M&A.
“We are thrilled to partner with WPCG and HGGC for this next phase of our business. As we evaluated partner options, we were drawn to the values that WPCG and HGGC espouse,” said Josh Reidinger, CEO of WAAM. “It was critical to me that a firm not only embrace our culture and values but that they live them out every day in their own organization. We believe we found that in both of these firms. In addition, the strong track record that WPCG and HGGC have in growing and supporting their partner firms was very appealing. We believe we have the perfect partners, in addition to our strong ongoing relationship with Warren Averett, to help us go deeper with our clients and provide the capital to expand into new markets.”
“With its strong regional brand, deep management and investment talent, and CPA firm expertise, WAAM has the potential to be a leading strategic RIA acquirer,” said John W. Copeland, Managing Partner of WPCG. “We are proud to partner with Josh, Justin Russell and the rest of the WAAM management team.”
“We are delighted to partner with WAAM and WPCG to invest in a leading wealth management platform with a client-centric approach,” said Neil White, Partner at HGGC. “We look forward to supporting management’s long-term value creation and growth aspirations.” HGGC will invest in WAAM via recently-formed Aspire Holdings, a holding company dedicated to investing in the wealth management space.
The transaction is subject to customary closing conditions and is expected to close by the end of Q4 2021. Financial and legal terms of the transaction will not be disclosed. Berkshire Global Advisors, LP, served as the financial advisor. Stark & Stark P.C., Bradley Arant Boult Cummings LLP, and Kirkland & Ellis LLP served as legal counsels to WAAM, Warren Averett and the new investor group, respectively.
About Warren Averett Asset Management
Founded in 1999 in Birmingham, Alabama, as a wholly-owned subsidiary of Warren Averett CPAs & Advisors, Warren Averett Asset Management (“WAAM”) serves a diverse group of clients including high net worth individuals, families, corporate retirement plans, trusts, endowments and institutions. WAAM manages more than $4 billion in assets and offers collaborative investment, tax, estate and financial planning services. The company currently has seven offices across the Southeast and a team of over 40 professionals holding many of the industry’s most prestigious credentials. For more information, please visit www.waasset.com.