Lincoln Peak Capital to own minority share of Boston-based wealth advisory firm as Anchor employees maintain management control
BOSTON, MA – [December 20, 2017] – Anchor Capital Advisors — a value-focused asset manager and wealth advisory firm – announced today that it is buying back a majority ownership stake of its company from Boston Private, a wealth management, trust and private banking company. After the transaction closes, Anchor employees will own 70 percent of the company compared to their current ownership of about 17 percent. The remaining 30 percent will be held by an affiliate of Lincoln Peak Capital, a long-term equity partner for high quality asset management firms. The move allows Anchor Capital to reclaim complete independence as the next generation management team positions the firm for future success.
In the same announcement, Anchor also confirmed that it is implementing the next steps in its succession process, which will become effective at closing. CEO and Founder Bill Rice, Sr. will transition to an ongoing role as Executive Chairman, allowing him to remain fully engaged in Anchor’s activities. He will transition the CEO role to Bill Rice, Jr. who will also continue in his current role as CIO. In addition, Mark Bergen will assume the role of President and continue in his role as COO.
“The repurchase of our company by management realigns our corporate strategic vision with our core value investing philosophy of investing in strong, undervalued companies that have active management control and majority equity participation,” said Bill Rice, Sr., transitioning Anchor Capital Advisors CEO. “We’re excited about this next chapter in Anchor’s history, especially with Bill, Jr. and Mark leading the next generation of our firm.”
Bill Rice, Jr. joined Anchor Capital in 2005 as an analyst and took over the Chief Investment Officer role in 2014. Mark Bergen joined Anchor in 2013 as COO and CFO. Their ascension as leaders is the next phase in Anchor’s succession planning that was initiated in 2006. During this time, the company began taking the necessary steps to transition from a founder-led firm to an organization that could evolve and grow. Specifically, Anchor management invested in significant infrastructure changes in an effort to advance the company’s performance and growth, including the creation of a dedicated marketing team, investments in technology, and enhanced investment management operations and training.
“We are confident in our future, and are excited to take back control. This deal enfranchises Anchor’s loyal employees and provides total alignment with our clients,” said Bill Rice, Jr., who will become Anchor Capital CEO. “Anchor has always been a high performing organization, and this transaction ensures that a large number of Anchor employees have a vested interest in the future of the firm. I’m honored to lead Anchor’s exceptional team and have never been more excited about Anchor’s future.”
The transaction is expected to close in the first quarter of 2018 and is subject to obtaining client consents, Anchor Capital raising debt financing, and customary closing conditions.
Anchor Capital currently manages approximately $9 billion in assets for both individual and institutional investors across eight strategies and is headquartered in Boston, MA.
About Anchor Capital Advisors
Anchor Capital Advisors LLC is a Boston based investment management firm which has been serving clients for over thirty years. Anchor clients include public funds, endowment funds and wealthy families. The firm is well known for its disciplined and time-proven approach to seeking and investing in undervalued securities.
For more information, please visit anchorcapital.com.
About Lincoln Peak Capital
Lincoln Peak is a Boston-based private investment firm focused exclusively on partnering with high quality asset management firms. Lincoln Peak serves as an experienced institutional partner for entrepreneurial management teams that face ownership transitions and wish to gain or retain their independence. Lincoln Peak’s investments are designed to create the proper incentive alignment among a firm’s key constituents, increasing the firm’s probability of realizing its long-term potential. Lincoln Peak currently has partnerships with five firms that collectively manage more than $65 billion in assets.
# # #