Exclusive-Software vendor Envestnet explores sale after receiving takeover interest, sources say

By Thomson Reuters Apr 16, 2024 | 1:33 PM

By Milana Vinn

NEW YORK (Reuters) – Envestnet, a U.S. vendor of software that helps manage investments, is exploring options that could include a potential sale after receiving takeover interest, people familiar with the matter said on Tuesday.

Envestnet, which has a market value of more than $3 billion, is working with investment bank Morgan Stanley to engage with potential acquirers, the sources said, cautioning that no deal is certain.

Last year, Envestnet added three new directors to end a board challenge from activist investor Impactive Capital that had been pushing the company to improve its performance by cutting costs.

Envestnet and Morgan Stanley did not immediately respond to requests for comment.

(Reporting by Milana Vinn; Editing by Chizu Nomiyama)