Private equity firms Motive Partners and CC Capital have agreed to purchase Santa Monica, California-based investment technology and advisory company Wilshire Associates.
Financial terms of the transaction were not revealed.
The deal will help Wilshire support its innovation efforts within its existing offerings and maintain a client-centric operating model.
CC Capital and Motive Partners plan to capitalise on Wilshire’s potential to transform its clients via “enhanced technology, data and analytics capabilities, new investment solutions and offerings, and expanded partnerships and geographic presence”.
Post deal completion in the year end, Dennis Tito will step down as CEO and chairman while John Hindman will resign as president and vice chairman.
Jason Schwarz will remain in charge of the investment and portfolio analytics activities as president and COO.
Wilshire COO Jason Schwarz said: “The collective expertise and industry leadership at CC Capital and Motive will support our focus on innovation and enhancing capabilities within our current offerings, while maintaining a client-centric operating model and further building upon Wilshire’s legacy of success across our practice areas to open up new opportunities for our clients.”
Established in 1972, Wilshire focuses on investment products, consulting services, and technology solutions. The company advises on more than $1 trillion in assets.
Its clientele includes asset owners such as corporate and public pension plans, as well as financial institutions and intermediaries.
The company launched the Wilshire 5000 index two years after its inception.
In 1976, it launched the Wilshire Trust Universe Comparison Service for actively managed U.S. institutional plan assets.
CC Capital senior managing director Chinh Chu said: “The foundations Wilshire has built over the last five decades provide a highly-compelling opportunity from which to accelerate growth for its clients and the firm.”
Notably in 2018, Motive Partners agreed to buy a controlling stake in Finantix, a fintech provider serving private banks, wealth managers and insurance firms.