California’s financial advisory firm Allworth Financial has agreed to buy Tucson, Arizona-based Pathways Financial Partners, marking its third partnership in the Southwest US.

Details about the transaction

The deal adds around $158m in assets to Allworth’s books, increasing its total assets to more than $9.5bn.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The deal, whose financial terms were not shared, is anticipated to wrap up later this year.

The acquisition of Pathways is Allworth’s 11th deal since private equity firm Parthenon Capital’s majority stake acquisition in the business in 2017.

Recently, Parthenon agreed to sell its stake to private equity firm Lightyear Capital and Ontario Teachers’ Pension Plan Board.

Allworth’s leadership and advisers will retain a significant ownership position in the business upon deal completion.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Commenting on the takeover, Allworth co-CEO Pat McClain said: “With the addition of Pathways, we’re one step closer to fulfilling on our mission to build a national firm that is a respected leader in the marketplace.

“Arizona is a market that we’ve wanted to be in for quite some time and we’re extremely pleased that we were able to find such a great firm to partner with there.”

Both Allworth and Pathways offer similar services.

Allworth focuses on retirement planning, investment advising, and 401(k) management. Previously operating under the name Hanson McClain Advisors, Allworth rebranded in 2019.

Pathways too focuses on investing and retirement planning for individuals and families. It also serves businesses sponsoring 401(k) plans.

Pathways president and founder Brian Murphy said: “Allworth’s model of providing straightforward fiduciary investment management and retirement planning advice appealed to us right from the start.”

Other deals

In May 2020, Allworth snapped up Ohio-based Capstone Capital with nearly $100m in client assets.

Earlier this year, Allworth added around $450m through the acquisition of Houston Asset Management.