Affiliates of buyout firm Clayton, Dubilier & Rice are to take Focus Financial Partners private in an all-cash transaction valued at more than $7 billion including debt, with stockholders of Focus set to receive $53 per share held.
Affiliates of buyout firm Clayton, Dubilier & Rice (CD&R) are to take Focus Financial Partners private in an all-cash transaction valued at more than $7 billion including debt, with stockholders of Focus set to receive $53 per share held.
The agreed price is unchanged from an offer disclosed earlier this month that sent shares of the firm to their highest level in nearly a year. Shares of the company, which invests in independent, fiduciary wealth management firms, were trading at $51.78 on Monday.
As part of the proposed transaction, which is expected to close in term third quarter of this year, funds managed by Stone Point will retain a portion of their holding in Focus and provide new equity financing.
Focus is also free to source alternative deals during a so-called “go-shop” period which is due to expire on 8 April.
Stone Point and fellow private equity firm KKR & Co owned New York-based Focus prior to its listing in 2018.
Jefferies LLC and Goldman Sachs are financial advisers to Focus, while Moelis & Co, Truist Securities Inc and BofA Securities are among advisers to CD&R.
