Pathstone, a private equity-backed family office in Englewood, N.J., announced its acquisition of Cornerstone Advisors, a registered investment advisor headquartered in Bellevue, Wash. The transaction would create an RIA with $20 billion in assets under advisement.
The acquisition, advised by Raymond James’ investment banking team, grows Pathstone’s capabilities and offerings. The combined firm will have 200 employees across nine offices. Cornerstone will bring over 65 employees and 22 new partners. Allan Zachariah, Pathstone’s co-CEO, said the addition of new partners equates to 44% of employees that will have equity in the firm.
“This is critical to improve the strength of the business, helping us to insure stability and longevity for clients and employees,” he said, in a statement.
Cornerstone Advisors is a privately held firm managing $4 billion in assets under management.
In late 2019, Pathstone, an independently operated and partner-owned firm, announced that private equity firm Lovell Minnick Partners would take a stake in the firm, while Fiduciary Network, its previous partner, would sell its stake in the RIA.