Investment firm Carlyle to Purchase intelliflo from Invesco

In a significant move, global investment firm Carlyle has announced its acquisition of intelliflo, a market-leading provider of cloud-based practice management software for independent financial advisors (IFAs) in the UK. The deal, worth up to $200 million, will see intelliflo's US-based subsidiaries, including RedBlack and intelliflo Portfolio, become part of Carlyle's portfolio.

The purchase price comprises $135 million at closing, with potential future earn-outs of up to $65 million. Equity for the investment will be provided by Carlyle Europe Technology Partners ("CETP") V, a €3 billion fund.

The transaction, which aims to strengthen intelliflo's market-leading position in the UK and accelerate its growth in Australia, received due diligence from Altman Solon, PWC, Oliver Wyman, and Ringstone. Evercore served as the financial advisor to Invesco, the previous owner of intelliflo, in the transaction.

intelliflo offers an end-to-end software platform used by over 30,000 professionals at approximately 2,600 advisory firms, supporting the management of approximately £450 billion in client assets. The organization that will become the holder of the US subsidiaries RedBlack and intelliflo Portfolio is Carlyle.

Carlyle will support both businesses, with RedBlack operating as a standalone company led by its own management team focused on the US market. RedBlack, with a history of delivering market-leading software solutions for its US RIA customer base, is expected to continue supporting advisors' needs under Carlyle's backing.

The CETP team has significant experience in financial software, wealthtech, and vertically focused SaaS. Bryan Perryman, the CEO of RedBlack, is highly motivated to focus on the US market as an independent company. Fernando Chueca, Managing Director in the CETP investment advisory team, is excited about partnering with intelliflo.

Doug Sharp, Senior Managing Director at Invesco, is confident that both intelliflo and RedBlack are well-positioned for continued success and innovation in the wealth technology space. HSF Kramer acted as the legal adviser to Invesco, while Gibson Dunn acted as the legal counsel to Carlyle in the acquisition.

Invesco and RedBlack will continue their relationship through common interaction with wealth advisor clients. The transaction is expected to close in the fourth quarter of 2022, subject to customary closing conditions and regulatory approvals.