Bingham, Osborn & Scarborough (B|O|S), a Bay Area wealth advisory firm, is buying back a majority ownership stake in the company from Boston Private Financial Holdings, a wealth management, trust and private banking company.
After the transaction closes, B|O|S Principals and Founders will own approximately 68 per cent of the company compared to their current ownership of approximately 38 per cent. Kudu Investment Management, LLC, a New York-based provider of passive, long-term capital to asset and wealth management firms, will own the remaining 32 per cent. The move allows B|O|S to regain its independence going forward.
“The repurchase of the company by our management aligns perfectly with our long-term vision for the firm as well as our entrepreneurial spirit,” says Managing Principal, Kevin Dorwin. “We have an extremely deep and talented team in place that is excited to move the firm forward as an independent company.”
“This exciting news reinforces our deep commitment to our clients and employees,” says Carol Benz, Managing Principal. “The transaction aligns our interests with those of our clients and positions the firm for success and growth well into the future.”
The firm’s existing Management Committee, which is comprised of current B|O|S Principals Carol Benz, Kevin Dorwin, Jennifer Ellison, Richard Golinski, and Aaron Waxman, will take over as the firm’s new Board of Managers. All Principals and employees will remain in their current roles.
“We are extremely pleased and excited to be supporting B|O|S’s transition to independent ownership,” says Kudu CEO, Rob Jakacki. “A team of B|O|S’s calibre represents the ideal partner for Kudu, which provides capital solutions to managers who value independence and significant internal ownership.”
The transaction is expected to close later in the fourth quarter of 2018 and is subject to obtaining client consents and customary closing conditions. Berkshire Global Advisors advised B|O|S and Keegin Harrison LLP served as B|O|S’s legal counsel in the transaction.
Founded in 1985, B|O|S has a strong reputation for serving the Bay Area’s wealthy families, individuals, entrepreneurs, charitable endowments and foundations. The firm focuses on doing what’s in the best interests of its clients through proactive and comprehensive financial planning advice and a long-term, disciplined approach to investing.