Envestnet announced Wednesday shareholder approval of its pending acquisition by Bain Capital.
The deal was first announced in July and is expected to close sometime in the fourth quarter of this year.
Shareholders overwhelmingly agreed to the merger at a special meeting. According to a statement, a preliminary vote count showed that more than 99% of shareholders agreed to the acquisition by “associates of vehicles managed or advised by Bain Capital.”
The deal would take Envestnet private and delist it from the New York Stock Exchange.
At the time the sale was announced, the giant technology provider for advisory firms was valued at $4.5 billion, or $63.15 per share, which includes stakes from previous investors and strategic partners in the firm—Reverence Capital, BlackRock, Fidelity Investments, Franklin Templeton and State Street Global—which will ultimately hold a minority stake in the business.
Envestnet currently works with more than 500 of the nation's largest RIA firms, has over 109,000 advisors and more than $6 trillion in total assets on its platform.
The company has been subject to acquisition speculation since CEO Judson Bergman and his wife, Mary Miller, died in a car accident in San Francisco in 2019. Rumors of Bain's interest first surfaced in April.
Bergman and Envestnet president Bill Crager led the firm through a 2010 IPO, raising $30 million (Crager became CEO in 2020).
The firm was founded in 1999 and made its first acquisition of managed account provider Portfolio Management Consultants (PMC) in 2001.