Latest news from Lee Equity Partners and our portfolio companies

October 12, 2015

Lee Equity Sells Majority Stake in Edelman Financial Services to Hellman & Friedman, LLC.

Hellman & Friedman LLC to Become Majority Owner of Edelman Financial Services

FAIRFAX, VA - OCTOBER 12, 2015 - Edelman Financial Services (, one of the largest independent financial planning firms in the nation(1), today announced that it has entered into a definitive agreement to be acquired by affiliates of Hellman & Friedman LLC ( H&F will own the business in partnership with Edelman’s senior management team and current majority owner Lee Equity Partners, both of whom will retain meaningful equity ownership in the firm. Ric Edelman will remain the largest individual shareholder. Terms of the transaction were not disclosed.

Edelman Financial manages approximately $15 billion for more than 28,000 clients via 41 offices across the country and online.(2) Three times ranked the #1 Independent Financial Advisor in the nation by Barron's, Ric Edelman and his team of experienced advisors have been helping thousands of people for 28 years.(3)

Ric Edelman said, “We are proud of our history of providing financial planning and investment management advice and service to our clients, and we are very excited to partner with Hellman & Friedman, whose experience in the financial services field will help us to better serve our clients and continue to grow to serve more hard-working Americans than ever. We will continue to enhance our services and strengthen our team over the next several years.”

Allen Thorpe, Managing Director of Hellman & Friedman, said, “The outstanding financial planners and leaders at EFS have built an extraordinary business by delivering sound financial advice for clients. We embrace their tradition and look forward to investing in the business to help Ric and his team accelerate the firm’s success.”

Edelman Financial Services has previously announced that it is conducting a search for a Chief Executive Officer so that, as Executive Chairman, Ric Edelman can focus on expanding the firm’s financial education activities, breadth of client services, and geographic footprint. That search will be facilitated by H&F.

Morgan Stanley & Co. LLC and UBS Investment Bank served as financial advisors to Hellman & Friedman. In addition, Simpson Thacher & Bartlett LLP acted as lead counsel and Willkie Farr & Gallagher LLP acted as regulatory counsel to Hellman & Friedman. Lee Equity was advised by Evercore and Fried, Frank, Harris, Shriver & Jacobson LLP. Management of EFS was advised by Paul, Weiss, Rifkind, Wharton & Garrison LLP and Lehman & Eilen LLP.

About Edelman Financial Services 
Edelman Financial Services provides financial planning and investment management services to more than 28,000 individuals and families and manages more than $15 billion in assets.(2) The firm also provides 401(k) plans and institutional investment management for businesses. EFS has won more than 100 financial, business, community and philanthropic awards.(4) For investment advice and other financial planning services, or to speak with an advisor, call 888-PLAN-RIC (888-752-6742) or visit

About Hellman & Friedman 
Hellman & Friedman is a leading private equity investment firm with offices in San Francisco, New York, and London. Since its founding in 1984, H&F has raised over $35 billion of committed capital. The firm focuses on investing in superior business franchises and serving as a value-added partner to management in select industries including financial services, software, internet & media, business & information services, healthcare, energy & industrials and retail & consumer. For more information on Hellman & Friedman, please visit

About Lee Equity Partners 
Lee Equity Partners is a New York based private equity firm that seeks to partner with top-tier management teams to build companies with high growth potential. Lee Equity makes private equity investments in growth oriented, mid and large cap companies located primarily in the United States. Lee Equity's target market includes companies with enterprise values of between $100 million and $5 billion. Lee Equity seeks to invest in businesses with sustainable competitive positions, sufficient scale to attract high quality management and the ability to demonstrate continued growth. Lee Equity is a generalist firm whose professionals have significant expertise in a number of industries, including Financial, Healthcare and Business Services, Retail and Consumer Products and Media.

Ric Edelman, Chairman and CEO of Edelman Financial Services LLC, a Registered Investment Adviser, is an Investment Advisor Representative who offers advisory services through EFS and is a Registered Principal of and offers securities through Sanders Morris Harris LLC, an affiliated broker/dealer, member FINRA/SIPC.

(1) As ranked by Wealth 2014 Top 100 RIAs; ranked by assets under management based on data from Meridian-IQ. For each firm, at least 10% of clients are high-net-worth, and at least 10% are not but get financial planning; institutional clients cannot comprise a substantial part of the business. Investor returns were not considered. Edelman Financial Services ranked 3rd.

(2) As of 10/9/2015

(3) According to Barron’s, “The formula [used] to rank advisors has three major components: assets managed, revenue produced and quality of the advisor’s practice. Investment returns are not a component of the rankings because an advisor’s returns are dictated largely by each client’s risk tolerance. The quality-of-practice component includes an evaluation of each advisor’s regulatory record.” The rankings are based on the universe of applications submitted to Barron’s. The selection process begins with a nomination and application provided to Barron’s. Principals of Edelman Financial Services LLC self-nominated the firm and submitted quantitative and qualitative information to Barron’s as requested. Barron’s reviewed and considered this information, which resulted in the rankings on Aug. 27, 2012/Aug. 28, 2010/Aug. 31, 2009.

(4) Throughout the firm’s 27 year history, EFS and Ric Edelman have been presented with more than 100 business, advisory, communication and community service awards. A complete list of awards won can be requested by contacting the firm at (888)-PLAN-RIC.