Parallel Advisors Partners with Golden Gate Capital on Recapitalization

Strategic Investment by Golden Gate Capital Will Accelerate Organic Growth and M&A Strategy, Including Acquisition of AUTUS Asset Management

Acquisition of AUTUS Creates Leading RIA Firm With Approximately $5.7 Billion in Assets Under Management

SAN FRANCISCO & SCOTTSDALE, Ariz.–(BUSINESS WIRE)–Parallel Advisors, LLC (“Parallel”), a registered, independent wealth management firm, today announced a recapitalization of the firm led by Parallel’s existing management and Golden Gate Capital, a leading private equity investment firm.

Founded in 2006, Parallel manages approximately $4.8 billion in assets under management1 (AUM) for high-net-worth individuals and pension/profit sharing plans across advisory, wealth planning, operations and investment teams. With more than 80 professionals throughout highly attractive markets in the United States, Parallel deploys a holistic wealth management approach and team-oriented services platform focusing on client experience, including financial & estate planning, investment portfolio management and active asset allocation.

Golden Gate Capital’s strategic investment will accelerate the Company’s M&A strategy and organic growth opportunities, including continuing to build out Parallel’s best-in-class team, led by CEO C.J. Rendic.

In connection with the investment, Parallel also today announced that it has acquired AUTUS Asset Management, LLC (“AUTUS”), a boutique asset management firm dedicated to providing innovative portfolio management solutions. Based in Scottsdale, AZ, AUTUS has approximately $900 million in AUM1 and provides personalized wealth management services to high-net-worth individuals, families and endowments. With the acquisition of AUTUS, Parallel has approximately $5.7 billion in AUM1 and more than 90 professionals.

“Parallel was founded with the mission of creating a world-class, independent wealth management firm with an extraordinary culture and we have made significant progress toward this goal to date,” said Mr. Rendic. “In this next chapter, we are thrilled to partner with Golden Gate Capital, whose deep financial services expertise will help drive value for our clients and advisors and support our growth initiatives. We are also very excited to welcome the AUTUS team – which shares our unwavering commitment to a collaborative, client-first approach – and look forward to what we can accomplish together.”

Dan Haspel, a Managing Director at Golden Gate Capital, said, “Parallel has demonstrated an impressive trajectory of both organic and inorganic growth, underscored by a holistic platform approach and full array of wealth services offerings. We believe the firm is well-positioned to continue this momentum through the execution of its strategic plan, which includes a significant increase in organic growth as well as further M&A activity, and are thrilled to support C.J. and the rest of the Parallel management team on these initiatives in the coming years.”

Mark Fiedler, Managing Partner of AUTUS, said, “We are excited to join the Parallel team and energized by the opportunities ahead for our clients. C.J. and his team have built a unique and innovative company in the wealth management space that is focused on meeting the evolving financial needs of clients, and we are thrilled to be a part of it.”

In connection with the Golden Gate Capital investment and AUTUS transaction, Emigrant Partners – previously a minority investor in both Parallel and AUTUS – has fully exited its position in the combined company. Financial terms of the Golden Gate Capital investment and AUTUS transaction are not being disclosed.

Republic Capital Group, LLC served as financial advisor to Parallel, AUTUS and Emigrant. Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal advisor to Golden Gate Capital. Alston & Bird LLP served as legal advisor to Parallel. RiezmanBerger, P.C. served as legal advisor to AUTUS.

About Golden Gate Capital

Golden Gate Capital is a San Francisco-based private equity investment firm with over $19 billion in cumulative committed capital. The principals of Golden Gate Capital have a long and successful history of investing across a wide range of industries and transaction types, including going-privates, corporate divestitures, and recapitalizations, as well as debt and public equity investments. Representative financial services investments sponsored by Golden Gate Capital include Pico Quantitative Trading, Aperio, Nassau Financial Group, and Mosaic Insurance. For more information, visit www.goldengatecap.com.

About Parallel Advisors

Parallel Advisors is a registered, independent wealth management firm specializing in active financial planning, solid portfolio construction, and mindful asset allocation designed to help individuals, families, and trusts accomplish their financial goals. Based in San Francisco, and with offices in Dayton, Dallas, Honolulu, and Oklahoma City, Parallel provides innovative, unrestricted, and comprehensive solutions for all clients. Parallel Advisors proudly manages approximately $5.7 billion in client assets and offers deep expertise in tax and estate planning and robust investment management.

About AUTUS Asset Management LLC

AUTUS Asset Management, LLC is a boutique asset management firm dedicated to providing innovative portfolio management solutions based in Scottsdale, AZ. The firm provides personalized wealth management services to high-net-worth individuals, families, and endowments and has expertise in the individual selection of equities and fixed income securities.

About Emigrant Partners LLC

Emigrant Partners (“EP”) is a capital and advice partner to exceptional management teams building successful wealth, asset, and alternative asset management firms. EP makes long-term, non-voting, minority investments tailored to meet the needs of each partner firm. EP is currently partnered with 18 firms that advise on over USD $90B in aggregate AUM and AUA.

EP is wholly owned by Emigrant Bank, the largest family-owned and operated bank in the United States. Emigrant Bank is owned and operated by the Milstein family, who have significant investments in large scale office, residential and hotel real estate, financial services, consumer goods, energy, entertainment, sports, finance, technology and agriculture businesses.

1 As of 12/31/2022

Contacts

Media

For Golden Gate Capital / Parallel Advisors / AUTUS Asset Management LLC:
FGS Global

David Isaacs / Hayley Cook / Chloe Clifford

[email protected]

For Emigrant Partners:
Karl Heckenberg

[email protected]

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