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The Wire
Jun 21, 2024

Advent's investment in Fisher reflects rising demand for wealth managers, plus 5 PE-backed vet care deals

Good morning dealmakers, thank goodness it’s Friday.

 

It’s Obey Martin Manayiti here with the newsletter.

 

We are starting this morning with a look at the wealth management space where Advent International is acquiring a minority stake in Fisher Investments. Below, we delve into the opportunities the firm identified with the deal.

 

Next, we turn to life insurance with a conversation with HBx Capital Management founder and CEO Corey M. Baylor. HBx Capital and Larchmont Insurance invested in life insurance agency Toropoint Financialthis week.

 

For the trend of the week, we have a listicle featuring five PE-backed deals focusing on vet care.

 

Active money managers

In wealth management, investors are likely more comfortable dealing with strong institutions than robo-advisers, David Mussafer, a managing partner at Advent International told PE Hub following his firm’s recent minority investment in Fisher Investments.

 

Premium subscribers to the Wire have more on this deal.

 

For more on wealth management, PE Hub rounded up half a dozen deals in the sector earlier this year.

 

Life insurance

HBx Capital Management and Larchmont Insurance Group this week invested in Toropoint Financial, a Silicon Valley-based life insurance agency.

 

PE Hub caught up with Corey M. Baylor, the founder, chairman and CEO of HBx to hear more on what attracted his firm to this investment.

 

Upgrade to the premium version of the Wire to learn more.

 

Pet care

Despite the ongoing lull in dealmaking across several subsectors, 2024 has been kind to the veterinary space so far, with strong PE investment activity seen over the first six months, writes my colleague John Fischer.

 

Vet care, which was popular even prior to the pandemic, has only grown as a priority for pet owners, who are increasingly willing to spend more on their animals.

 

John rounded up five PE-backed vet care deals. Premium subscribers have access to all the deals in this story.

 

That’s it for today. You can always reach me at [email protected] for news tips.

 

MK Flynn will be back with the newsletter on Monday.

 

Have a nice weekend,

Obey

 

Read the full wire commentary on PE Hub ...

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Today's must reads
> Vet care is private equity's best friend: 5 deals in first half of 2024 More...
> Inside the deal: Why Advent invested in Fisher Investment More...
> Permira’s Yi Xiao: Pride is a state of mind More...
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> Huron Capital slims down organization amid senior departures, refined strategy More...

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Hints of light break though bleak exit landscape as GPs turn to another liquidity option: According to fresh research from Goldman Sachs, average distribution-to-paid-in multiples for the 2019-22 vintage era is 80% lower than the equivalent 2007-14 vintage set. (Buyouts)

 

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The eighth edition of the Secondaries Investor Law Firm Survey shows top law firms advising on a collective $827bn of transaction volume, a record high amid a booming secondaries market.

 

Tower Peak Partners could soon emerge as a new player in the infrastructure space as the company launches with several investment strategies across private equity, infrastructure and natural capital in the making. (Infrastructure Investor)

 

EQT has appointed Kunal Koya, managing director at Goldman Sachs Asset Management, as a new partner for its core infrastructure strategy, Infrastructure Investor has learned.

 

Amid all the talk of impact investing entering the mainstream, private credit professionals would be forgiven for feeling a little left out. While private equity impact funds have become commonplace, the debt space has comparatively little activity. That is, until recently. (New Private Markets)

 

In the latest episode of the Spotlight podcast on Private Equity International, Blue Owl Capital’s Lamar Cardinez, Texas Municipal Retirement System’s Ngoc Can and ECI Partners’ Richard Pearce share their experiences of seeking out niche investment and operational strategies.

 

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In its mid-year review, Private Equity International highlights three key issues to keep your eye on: LPs warming to NAV loans, a surprising degree of liquidity, and a spate of evergreen entrants.

 

How Florida SBA uses secondaries market to improve performance: Secondaries is an area where the $251bn system can 'use creative partnerships to access opportunities', according to senior investment officer John Bradley. (Private Equity International)

 

PE Deals

Alternate text
> Vet care is private equity's best friend: 5 deals in first half of 2024 More...
> Ares Management-backed CoolSys acquires HVAC service provider Universal Refrigeration More...
> Inside the deal: Why Advent invested in Fisher Investment More...
> HBx Capital and Larchmont Insurance invest in life insurance agency Toropoint Financial More...
> Stellex Capital buys baked goods provider J. Skinner More...
> OMERS Private Equity sells long-term majority stake in CEDA More...
People
> Permira’s Yi Xiao: Pride is a state of mind More...
> Huron Capital slims down organization amid senior departures, refined strategy More...
> Argosy-backed Barco Products appoints Chatel as CEO More...

They said it

“There was a time about 10 years ago where people thought the wealth management space would move to a passive investing model with robo-advisers and that active money managers would be a much smaller part of the global market. Since then we’ve seen that customers want the safety and security of knowing that there is a very strong institution that is managing their money and that there is a person behind that.”

— David Mussafer, a managing partner at Advent International following his firm’s recent minority investment in Fisher Investments.

 

Today's letter was prepared by Obey Martin Manayiti

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