The two final bidders for wealth management company National Financial Partners are private equity firms TPG Capital and Madison Dearborn Partners. The New York based firm is currently valued at US$900 million according to sources who spoke on condition of anonymity.
The current head of NFP is Jessica Bibliowicz, the daughter of former Citigroup head Sandy Weill. The enterprise value can even increase further to US$1 billion. The decision to sell firm came after interest from private equity firms were considered, after a Reuters report on the matter last March 12.
Like many other independent brokerage firms, National Financial Partners is experiencing financial difficulties after the 2008 financial crisis. It even came to a point that NFP share prices plunged to its all time low of US$1.21 per share. As of Wednesday, share prices were valued at US$22.25 at close of trading.
Last February, the firm reported net income for the fourth quarter of 2012 at US$19.4 million or US$0.45 per share.
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