First Allied Securities, one of the industry’s largest independent broker-dealers, is spinning off from its parent, Chicago-based Advanced Equities.
The San Diego-based firm’s senior leadership team will execute a buyout of First Allied and its affiliated companies, in a deal backed by Lovell Minnick Partners, according to industry sources familiar with the situation.
Terms of the deal, which is expected to close in the fourth quarter, were not immediately available. Lovell Minnick, with offices in Los Angeles and Radnor, Penn., sponsors and manages private equity partnerships that totaling more than $800 million, according to that firm’s Web site.
Known for its expertise in private equity and alternative investment products, First Allied is the 22nd largest independent broker dealer, according to Financial Planning’s 2011 rankings. With almost 1,000 representatives, the firm had $230 million in revenues in 2010, according to the ranking.
Adam Antoniades, president of the firm, and its chairman, Joel Marks, have been credited with driving the firm’s strategic direction over the last several years, including acquisitions and new independent brokerage initiatives, including selling customize 401(k) plans to small business clients.
Executives at First Allied Securities were not immediately available for comment.