Alston & Bird client CAPTRUST Financial Advisors has secured a 25 percent minority growth investment from GTCR, a leading private equity firm, in a deal that values CAPTRUST at $1.25 billion.
As part of the transaction, GTCR agreed to a minimum seven-year investment horizon and will hold two of the nine seats on CAPTRUST’s board of directors. The leadership and employees of CAPTRUST will continue to hold the majority interest in the firm following the transaction. CAPTRUST’s co-founder, chairman, and CEO, Fielding Miller, will continue to lead the firm and remain as the largest shareholder.
CAPTRUST will use part of the investment proceeds to provide partial liquidity to shareholders, and a portion will be held as primary capital to fund acquisitions. Since 2006, the company has completed 40 transactions, and the investment will give it the opportunity to deploy additional capital to support its strategic plans to further expand the business nationally.
Founded in 1997 in Raleigh, NC, CAPTRUST has more than 700 employees and 43 offices in 21 states. The firm has more than $390 billion in assets under advisement, including more than $45 billion in managed assets for private clients and institutional investors.
Advising CAPTRUST on the transaction is an Alston & Bird team led by partner Chris Frieden, senior associate Ian Calhoun, and associate Nathan Tyre (Financial Services & Products), with assistance from partners Brian Harvel (Federal & International Tax),and Scott Kummer and senior associate Kristen Whitt (Corporate & Business Transactions).