Firm announces it would sell 20-30 per cent of existing equity to a private equity partner
Wellington-Altus Financial Inc. has announced it is seeking to sell 20 to 30 per cent of its existing equity to a new private equity partner. The firm has launched an exploratory minority secondary share sale process to complete this sale.
The firm, which manages over $35 billion in assets under administration and employs more than 900 people, says they are seeking a new strategic partner to “actively support Wellington-Altus’ vision to revolutionize wealth management.”
“We have never been stronger as an organization thanks in part to our trusted private equity partners and access to long-term credit,” said Shaun Hauser, Founder & CEO of Wellington-Altus. “Welcoming a new equity partner will enhance our future growth and client-focused service, while enabling our shareholders to unlock the value of their investments through a greater ability to sell shares, providing liquidity and validating our share price.”
In 2023 Wellington-Altus secured a $40 million equity investment from The Cynosure Group, which increased Cynosure’s ownership stake to 15 per cent. A Wellington-Altus spokesperson confirmed that around 20 per cent of the firm is currently owned by private equity partners.
Wellington-Altus will maintain its status as a Canadian-controlled private corporation, according to a press release, and will remain majority owned by its advisors and employees following any transaction, which is expected to conclude mid-2025.
In an interview with Wealth Professional conducted in September of this year, Hauser emphasized that Wellington-Altus’ owners are not seeking to sell majority control of the firm. He stressed, too, that the firm’s existing private equity partners are “in it for the long haul.”
