M and A
RIA Completes Two Acquisitions, Adds Nearly $3 Billion AuM
The transactions, which have taken the RIA's AuM up to about $14.5 billion, are examples of continued industry consolidation, even though the industry's pace of activity slowed somewhat last year.
Choreo, an RIA, has wrapped up two acquisitions as 2023 gets under way.
The firm has completed its previously-announced purchase of Enso Wealth Management, a Petaluma, California-based firm with about $1.8 billion in assets under management.
The deal – Choreo’s second acquisition since launching as a standalone organization last year – builds its presence in Northern California and Nevada. The move also boosts assets under management or advisement to around $14.5 billion.
Choreo also completed its acquisition of Cherry Bekaert Wealth Management, which added approximately $1 billion in assets under management and advisement, on January 3. Choreo and Cherry Bekaert Advisory have formed a strategic partnership wherein the firms will combine resources and teams to target other acquisition opportunities. CBWM has approximately $1 billion in assets under management and advisement.
The financial terms of both acquisitions this week were not disclosed.
The transactions are examples of continued M&A activity in the North American wealth space, although the pace of such deals slowed noticeably last year as financial markets were hit by rising US interest rates. (See an analysis of developments here by FWR’s US correspondent Charles Paikert. Other analyses can be seen here and here.)
Enso deal
In the Enso acquisition, its 13 advisors and nine support staff
will work under the Choreo brand as Jim DeCota, Enso's co-founder
and president, assumes the role of managing director.
Parthenon Capital, Choreo management and its advisors bought the company in February 2022. Besides Enso Wealth Management and Cherry Bekaert Wealth Management, Choreo also announced an agreement late last year to acquire GreerWalker Wealth.
Turkey Hill Management and Faegre Drinker served as financial advisor and legal counsel, respectively, to Enso. Vedder Price served as legal counsel to Choreo.
