Envestnet Inc. (ENV) announced Tuesday that it had closed on its previously announced acquisition of TAMP provider FundQuest Inc. FundQuest's chief investment officer, Tim Clift, will become chief investment strategist at Envestnet|PMC, the asset allocation and portfolio solutions division of Envestnet, which provides an investment and wealth management platform to RIAs and broker-dealer reps.
The acquisition is of FundQuest Inc., the U.S. separate account, portfolio overlay and institutional asset management and consulting unit of BNP Paribas, which had $15 billion in AUM and administration prior to the acquisition. According to an SEC filing, $6 billion of those assets will be reclassified as AUM on Chicago-based Envestnet's platform.
At the time of the original announcement in August 2011, Envestnet said it would pay $24.4 million in cash for FundQuest. In its 8K filing with the SEC made on Tuesday, Envestnet confirmed the sale price, and reported that it had funded the purchase with available cash.
In a statement on the closing, Envestnet Chairman and CEO Jud Bergman said the acquisition will benefit Envestnet's advisor clients with "expanded resources in investment management and research, and in client support, which strengthen our integrated wealth management solutions."
