Charles Paikert of Financial Planning interviewed Corey Kupfer about Rockefeller Capital Management‘s acquisition of The Bapis Group. Rockefeller Capital did not disclose terms of the transaction, but industry M&A attorney Corey Kupfer thinks it may be a sweet deal for Bapis.
“The Bapis Group had strong leverage with Rockefeller,” he says. “The first team on a new platform usually gets a sweetheart deal as it breaks the ice and paves the way for other teams to join.”
Whether the Bapis move leads to more Hightower departures “will largely depend upon whether those teams buy into the future plans and eventual exit strategy of Thomas H. Lee Partners or not,” Kupfer says.
The PE firm “has been working to acquire the practices of the larger Hightower partner teams to lock in that revenue and the clients in anticipation of a potential IPO or sale down the road,” says Kupfer. “That is a counter-balancing force against other HighTower teams looking at outside options.”
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