Motive Partners (“Motive”) and CC Capital have agreed to sell Wilshire to Marsh (NYSE: MRSH). The Wilshire acquisition marks a major move for the global investment advisory, solutions, data and analytics firm. Motive is a private investment firm focused exclusively on financial technology and technology-enabled business services. Meanwhile, CC Capital is a private investment firm that invests in and operates high-quality businesses for the long term. Marsh is a leading global professional services firm. Wilshire serves clients across wealth and retirement, alternatives, data and analytics, and OCIO and consulting.
“Over the past several years, we have materially strengthened Wilshire’s platform, expanded our capabilities and sharpened our focus on the needs of our clients,” said Jason Schwarz, Chief Executive Officer of Wilshire. “We are grateful for our partnership with Motive Partners and for the commitment of our employees, clients and Board. Joining Marsh’s Investment business will enable Wilshire to build on that progress and continue delivering independent insight, investment solutions and technology-enabled services to clients globally.”
How Motive and CC Capital Built Wilshire’s Value
Motive and CC Capital invested in Wilshire in 2021. Since then, both firms have worked closely with Wilshire’s management team. Together, they designed and executed a strategic value creation plan. The program drew on Motive’s Investor-Operator-Innovator model and Create, Motive’s innovation arm. The plan included the following steps:
- Leadership: The firms strengthened leadership by appointing key executives. First, they installed one of Motive’s own seasoned leaders as CEO, and later as Executive Chairman. They also expanded talent recruitment and development across the C-suite.
- Technology: They modernized technology and data infrastructure. This included platform investments in cloud, API-enabled technology and cybersecurity.
- AI: They advanced AI-enabled operating workflows.
- Product: They invested in product development. As a result, Wilshire’s proprietary intellectual property became a new investment solution.
- Go-to-market: They rearchitected the go-to-market approach. Consequently, Wilshire expanded its sales pipeline, strengthened client coverage and improved sales execution.
- Portfolio: They reshaped the portfolio around high-growth businesses in priority markets positioned for continued expansion.
- Acquisitions: They completed the strategic acquisitions of XTP, ParkLexington, and Lyxor. These deals expanded alternatives and institutional hedge fund managed accounts offerings. Furthermore, they deepened connectivity with financial intermediaries and retirement providers.
“Wilshire is a compelling example of Motive’s proven Investor-Operator-Innovator model in action and how we create value,” said Rob Heyvaert, Founder and Managing Partner at Motive Partners. “We co-created a value creation plan that built on a five-decade legacy of investment integrity to enhance Wilshire’s talent, technology, data and operating foundation while broadening its solutions and market reach. The result is a differentiated business positioned around growth markets in wealth and retirement, alternatives, and data and analytics.”
“In close partnership with Wilshire’s management team, we developed a respected investment advisory business into a modern, scalable data and analytics platform with real strategic scarcity value,” said Scott Kauffman, Founding Partner and Head of Investments at Motive Partners. “Our value creation plan combined operating, technology and commercial priorities, including strategic acquisitions, product innovation and expanded capabilities, to drive revenue growth. Through the execution of our collaborative, hands-on approach and plan, we leveraged Create – the innovation arm of Motive Partners – to build a highly differentiated business, distinguishing Wilshire in the market and positioning the firm for its next phase of growth.”
Wilshire’s Platform and Deal Timeline
Wilshire now pairs a 50-year heritage in investment consulting, indexing and fiduciary advice with a modern platform. The platform is fully cloud-based and API-enabled. In addition, it runs on a unified data and analytics stack that spans investment solutions and alternatives. With data as its core asset, Wilshire offers a differentiated investment solutions and analytics platform. Its capabilities now include:
- Advisory services across approximately $1.6 trillion of client assets1 and management of approximately $221 billion in assets2.
- Wealth and retirement solutions that support thousands of defined-contribution plans.
- A differentiated alternatives business, including hedge fund managed accounts and private markets solutions.
The parties anticipate that the deal will be finalized in early 2027, but it is contingent upon regulatory approvals and customary closing conditions.
Forward-looking statements: The present release contains forward-looking statements, such as those related to the expected completion date of the transaction and expected impact of the deal. There are relevant risks and uncertainties inherent in these statements, which may lead to different results. Neither Motive nor Wilshire performs any obligation to update these statements, unless required by the applicable law.
Motive Capital Management LLC is a registered investment adviser. Wilshire is one investment and does not represent all Motive investments or the performance of any Motive managed investment vehicle. Statements on Motive’s views and value creation approach reflect its beliefs as of the date of the release and may change. Past performance does not indicate future results. Nothing herein constitutes an offer to sell, or a solicitation of an offer to buy, interests in any Motive managed investment vehicle.
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News Source: Businesswire.com
