What You Need to Know
- With Warburg investment Edelman Financial Engines said it enters “its next phase of growth.”
- The investment values the company at $7.3 billion.
- Deal expected to close in the second quarter.
Warburg Pincus, a private equity firm, will become a minority owner of Edelman Financial Engines.
Edelman, an independent financial planning and investment management firm, along with lead investor Hellman & Friedman, a private equity firm, announced Warburg’s strategic investment Tuesday.
The investment values the company at $7.3 billion and is expected to close in the second quarter.
Financial Engines and Edelman Financial Services, the RIA founded by Ric Edelman, completed their merger in 2018. Private equity firm Hellman & Friedman, which owns a majority interest in Edelman, handled the deal.
Since the merger, Edelman Financial Engines “has continued to expand and enhance its service offering,” growing its assets under management by nearly $100 billion, the firm said in a statement.