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Eric Clarke, CEO of Orion Advisor Tech

Practice Management > Building Your Business

Orion to Buy CRM Provider Redtail

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Platform provider Orion Advisor Solutions says it is buying Redtail Technology, a web-based client relationship management software firm focused on the wealth management industry, for an undisclosed price.

“This acquisition presents a game-changing opportunity for growth-focused independent advisors, as it will make our robust tech stack ecosystem even more valuable,” according to Orion CEO Eric Clarke. ”Redtail has long been a valued technology integration partner to Orion, and we share a core value of being committed to serving independent advisors.”

Doug Fritz, head of F2 Strategy, tweeted that the deal was ”Big news in the Wealth CRM World…”

He continued, “Redtail just got deeper pockets and a front row seat to Orion’s growing client base! Great news for smaller advisory shops (especially those on BOTH Redtail & Orion). Probably not a big deal for larger wealth shops.”

The deal is expected to close in the second quarter of 2022. Upon completion, “the combined open-architecure platform experience is expected to come to market quickly,” the two firms said. They also will “continue to support their existing technology integrations for clients.”

“The addition of Redtail to Orion will further enhance our user experience,” Clarke said. “By embedding Redtail’s highly regarded, next-generation CRM software with our portfolio accounting and advisor technology, we will connect the advisor-client journey with a highly integrated, most-in-one technology suite.”

The news comes nearly two years after Orion, which is financially backed by Genstar Capital and TA Associates, announced plans to merge with investment manager Brinker Capital.

“Another mega acquisition for @OrionAdvisor, buying the #1 CRM app used by RIAs & IBDs. Along w/ deal for then $25B TAMP Brinker Capital, it completes CEO Eric Clarke’s vision of an end2end #advisor platform that’s a one stop shop,” explained Craig Iskowitz, founder of the consultancy Ezra Group, on Twitter.

After the latest deal closes, Redtail CEO Brian McLaughlin will become president of CRM for Orion and report to Clarke. In addition, McLaughlin will join Orion’s executive team and its board of directors.

Redtail’s executive leadership team and employees will continue to work from their existing locations, and its brand name won’t be changed “for the foreseeable future,” according to Orion.

“Our aim has always been to free advisors up to spend more time engaging with their clients and prospects in meaningful ways,” McLaughlin said in a statement. Joining Orion “will greatly benefit both companies’ client bases via a seamlessly connected, end-to-end technology experience that solves some of their tech integration challenges.”

He added: “We’ve worked side-by-side as integration partners for many years; this is a natural progression for us to come together to benefit RIAs who seek an integrated suite of technology to grow their businesses.”