HighTower says it is buying Salient Private Client, which should add about $4.5 billion in client assets and trust services to its wealth management business.
The deal could bring HighTower’s total client assets to $55 billion. It includes the largest single-office location purchase yet for the Chicago-based firm and its first presence in Texas.
“Salient Private Client is one of the true jewels in the marketplace,” said HighTower CEO Elliot Weissbluth, in a statement. “We are honored to welcome their stellar financial advisors and clients to the HighTower community, and look forward to learning and sharing with them as we help change the shape of the industry.”
As part of the deal, Heinrich Grobler will continue in his role as chief operating officer of the Houston-based SPC team.
SPC’s principals started the business on the Kidder Peabody and PaineWebber brokerage platforms in the late 1980s, according to a press release. They moved it from the brokerage platform to a hybrid brokerage and fiduciary model in 1998, established Salient as a pure fiduciary practice in 2003 and merged with Pinnacle Management & Trust Co. in 2004.
“Over the past 15 years, Salient Private Client has proven to be the premier solution for ultra-high-net-worth individuals, family office services and in-house trust capabilities in Texas and surrounding areas,” said Salient Chairman and CEO John Blaisdell, in a statement. “HighTower is the right partner to extend our footprint and resources across Texas and to the rest of the U.S.”
In October, HighTower said it finalized a recapitalization agreement with Thomas H. Lee Partners, which includes new equity capital for acquisitions and growth. The SPC transaction is expected to close by Sept. 30.
— Check out Size of RIA Deals Up 45% in 2017: Fidelity on ThinkAdvisor.