Envestnet,
Inc. (NYSE:ENV), a leading provider of unified wealth
management technology and services to investment advisors and wealth
managers, announced today that it has completed the acquisition of
Placemark Holdings, Inc., a leading developer of Unified Managed
Accounts (UMA) programs for banks, full-service broker-dealers and RIA
firms.
“Placemark’s portfolio overlay and tax optimization technologies will be
designed into Envestnet | PMC’s product offerings as we integrate our
two companies,” said Jud Bergman, Chairman and Chief Executive Officer,
Envestnet. “As advisors increasingly adopt UMA implementations for their
clients’ portfolio strategies, Envestnet will be there to support them
with the industry’s leading UMA technology and platform.”
The acquisition will give Placemark’s clients immediate access to
Envestnet’s full suite of wealth management services including
advisor-driven portfolio management, rebalancing and aggregated
reporting solutions.
“With the acquisition completed, our focus will now be on serving the
current and future wealth management needs of Placemark’s customers:
full-service broker-dealers, banks and individual RIAs,” said Bill
Crager, President, Envestnet.
Envestnet acquired Placemark Holdings, Inc. for $66 million in cash upon
closing. Placemark had $15.6 billion in UMA assets under management as
of June 30, 2014. Lee Chertavian, CEO of Placemark, is joining Envestnet
as Group President of Envestnet | Placemark.
“With the benefit of Envestnet’s breadth of capabilities, we look
forward to providing our customers with solutions they have been seeking
on an accelerated schedule,” said Mr. Chertavian. “We are united with
our Envestnet colleagues in our firm commitment to delivering the best
solutions and service to our customers.”
ABOUT ENVESTNET (NYSE: ENV)
Envestnet, Inc. (NYSE: ENV) is a leading provider of unified wealth
management technology and services to investment advisors. Our
open-architecture platforms unify and fortify the wealth management
process, delivering unparalleled flexibility, accuracy, performance and
value. Envestnet solutions enable the transformation of wealth
management into a transparent, independent, objective and fully-aligned
standard of care, and empower advisors to deliver better results.
Envestnet’s Advisor Suite® software empowers financial
advisors to better manage client outcomes and strengthen their practice.
Envestnet provides institutional-quality research and advanced portfolio
solutions through our Portfolio Management Consultants group, Envestnet
| PMC®. Envestnet | Tamarac provides leading rebalancing,
reporting and practice management software.
For more information on Envestnet, please visit www.envestnet.com
and follow @ENVintel.
Cautionary Statement Regarding Forward-Looking Statements
The forward-looking statements made in this press release concerning,
among other things, Envestnet, Inc.’s (the “Company”) expected financial
performance and outlook, its strategic operational plans and growth
strategy are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These statements involve risks
and uncertainties and the Company’s actual results could differ
materially from the results expressed or implied by such forward-looking
statements.
Furthermore, reported results should not be considered as an indication
of future performance. The potential risks, uncertainties and other
factors that could cause actual results to differ from those expressed
by the forward-looking statements in this press release. For example,
the Company’s forward-looking statements related to Placemark could
prove incorrect if Placemark were to perform differently than currently
expected by the Company or if anticipated benefits of the transaction
are not realized. More generally, potential risks, uncertainties and
other factors relating to the Company’s business include, but are not
limited to, difficulty in sustaining rapid revenue growth, which may
place significant demands on the Company’s administrative, operational
and financial resources, fluctuations in the Company’s revenue, the
concentration of nearly all of the Company’s revenues from the delivery
of investment solutions and services to clients in the financial
advisory industry, the Company’s reliance on a limited number of clients
for a material portion of its revenue, the renegotiation of fee
percentages or termination of the Company’s services by its clients, the
impact of market and economic conditions on the Company’s revenues,
compliance failures, regulatory actions against the Company, the failure
to protect the Company’s intellectual property rights, the Company’s
inability to successfully execute the conversion of its clients’ assets
from their technology platform to the Company’s technology platform in a
timely and accurate manner, general economic, political and regulatory
conditions, as well as management’s response to these factors. More
information regarding these and other risks, uncertainties and factors
is contained in the Company’s filings with the Securities and Exchange
Commission (“SEC”) which are available on the SEC’s website at www.sec.gov
or the Company’s Investor Relations website at http://ir.envestnet.com/.
You are cautioned not to unduly rely on these forward-looking
statements, which speak only as of the date of this press release. All
information in this press release is as of October 1, 2014 and, unless
required by law, the Company undertakes no obligation to publicly revise
any forward-looking statement to reflect circumstances or events after
the date of this press release or to report the occurrence of
unanticipated events.
Copyright Business Wire 2014