Family Office
Wealth firm to buy former IMG advisory affiliate
BC Investment Partners in deal to acquire McCormack Advisors
International. Wealth-management boutique BC Investment Partners
has agreed to acquire McCormack Advisors International (MAI), a
firm that provides financial planning, investment advisory, tax
and family-office services to professional athletes, celebrities
and other high-net-worth individuals and families.
Terms of the deal weren't disclosed.
"BC Investment Partners and McCormack Advisors International
provide complementary, highly personalized services to
high-net-worth individuals and families," says BC's managing
partner Richard Buoncore. "We are delighted to be able to combine
these two fine companies."
Pleased with the arrangements
Both firms are based in Cleveland. MAI, founded in 2000 by the
late Mark McCormack was affiliated with sports management and
marketing company IMG Worldwide until the McCormack Trusts and
the family of Arthur Lafave Jr. sold IMG to an affiliate of
private-equity firm Forstmann Little late in 2004.
MAI manages or otherwise oversees about $1.2 billion, according
to the Securities and Exchange Commission (SEC). BC manages or
supervises about $67 million; again, according to the SEC.
Michael Horvitz, a co-trustee of the Mark McCormack Trusts, says
BC isn't the first firm the trustees have held talks with since
Mark McCormack's death in 2003 in their endeavor "to find the
right fit for the company," but BC is the first to come up to
scratch. "We believe that BC's culture is very compatible with
MAI's, and we are quite pleased that MAI will be in such capable
hands."
Jay Lafave, a beneficial owner of MAI and one of its clients,
sees eye to eye with Horvitz. "I am pleased with the arrangements
made with BC Investment Partners, and I look forward to the
combination of these two firms."
Buoncore says BC has no plans to leave the Cleveland area after
the merger is completed. "We believe that Northeast Ohio
continues to be a great location from which to grow a business,"
he says. But he adds that the firm will be "adding professionals
to meet the needs of a diverse client base."
Cleveland-based investment bank Western Reserve Partners advised
BC on the transaction. -FWR
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