As many Texas residents know, business acquisitions help companies grow and prosper. The collaboration of two big businesses can create a comprehensive corporation, which brings in a range of different clients. Furthermore, the attainment of one company by another can also assist with the development of innovative ideas. However, the process can be quite difficult.
The process involves developing the criteria of an acquisition, creating a proposal, drafting a purchase agreement and identifying funding options. Ultimately, companies aim for an efficient and reliable transition of ownership.
In recent news, Envestnet, Inc., a major source of technology-enabled wealth management solutions for investment advisors, has announced the conclusion to its acquisition of Prima Capital Holding, Inc. Prima is a company that provides investment manager due diligence, asset allocation modeling, research applications and portfolios to the wealth management and retirement services.
The acquisition will help enhance and expand Envestnet's customer base to include Prima's variety of clients in the banking and broker-dealer industries.
Prima feels that the acquisition process will give the company additional sources of modernization.
Ultimately, the acquisition is part of an overarching plan to increase Envestnet's growth. Last year, Envestnet acquired FundQuest, Inc., the turnkey asset management program supplier. Furthermore, Envestnet is currently involved in the acquisition of Tamarac, Inc., which is a source of portfolio management technology.
The Chairman and Chief Executive Officer of Envestnet made a statement about the process: "We are pleased to expand Envestnet's core technology and investment solutions with Prima's institutional-quality investment manager research and due diligence."
Source: MarketWatch, "Envestnet completes acquisition of Prima Capital," April 5, 2012