Bain Capital Acquires Wealth Management Tech Firm Envestnet

  • Envestnet shareholders approve sale to Bain Capital
  • 99.33% of votes in favor of the deal
  • Several financial-services companies, including BlackRock and Reverence Capital, will hold minority positions upon completion
  • Envestnet has struggled in recent years due to market headwinds and investment spending program

Envestnet shareholders have overwhelmingly approved the sale of the wealth management technology company to private-equity firm Bain Capital. The deal, which values Envestnet at $4.5 billion ($63.15 per share), will take the company private after it went public in 2010. Several financial services companies, including BlackRock and Reverence Capital, have agreed to participate in the acquisition and hold minority positions upon completion. Despite being a leading wealth management technology provider founded in 1999, Envestnet has struggled in recent years due to market headwinds and its investment spending program.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the sale of Envestnet to Bain Capital and its recent financial performance, with a brief background on the company’s history and challenges faced in recent years.
Noise Level: 3
Noise Justification: The article provides relevant information about the sale of Envestnet to Bain Capital and its recent financial performance, but it lacks in-depth analysis or exploration of long-term trends or consequences for those affected by the decision. It also does not offer actionable insights or new knowledge.
Public Companies: Envestnet (ENV), BlackRock (BLK)
Private Companies: Bain Capital,Reverence Capital
Key People:

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Financial Relevance: Yes
Financial Markets Impacted: Envestnet and related financial-services companies
Financial Rating Justification: The article discusses the sale of Envestnet, a wealth management technology company, to private-equity firm Bain Capital, which impacts its stock price and the financial markets in which it operates.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event in the text and it’s not the main topic.
Deal Size: 750000000
Move Size: No market move size mentioned.
Sector: Technology
Direction: Down
Magnitude: Small
Affected Instruments: Stocks

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