Carlyle to Acquire intelliflo from Invesco

Rhea-AI Summary

Carlyle (NASDAQ: CG) has agreed to acquire intelliflo from Invesco (NYSE: IVZ) for up to $200 million. The deal includes a $135 million payment at closing and potential future earn-outs of up to $65 million.

intelliflo is a leading cloud-based practice management software provider serving over 30,000 professionals at 2,600 advisory firms, managing approximately £450 billion in client assets. The transaction includes intelliflo's US subsidiaries, which will be established as a standalone business called RedBlack.

The acquisition will be funded by Carlyle Europe Technology Partners V, a €3 billion fund. The deal is expected to close in Q4 2025, subject to closing conditions. The separation will allow both intelliflo and RedBlack to focus on their respective markets - UK/Australia and US respectively.

Positive

• Transaction value of up to $200 million strengthens Invesco's balance sheet
• Clean separation of UK/Australia and US businesses allows for better market focus
• Backing from Carlyle's €3 billion technology fund provides strong growth potential
• intelliflo maintains strong market position with 30,000 professionals and £450 billion in managed assets

Negative

• Invesco divests a strategic technology asset from its portfolio
• Complex carve-out process required to separate US and UK/Australia operations

Insights

Financial Analyst

Invesco's $200M divestiture of intelliflo to Carlyle streamlines operations while securing meaningful cash infusion with limited financial impact.

This $200 million transaction represents a strategic divestiture for Invesco, allowing the asset management firm to monetize a non-core technology asset while maintaining $135 million in immediate proceeds plus potential for an additional $65 million in future earn-outs. For context, this deal value represents less than 1% of Invesco's total market capitalization, indicating a relatively modest financial impact on the company's overall valuation.

The transaction demonstrates Invesco's continued portfolio optimization strategy, shedding technology assets that aren't central to its core investment management business. intelliflo's £450 billion in supported client assets through its platform shows it has achieved significant scale in the UK wealth management software market. However, the separation of the US subsidiaries suggests the company faced challenges in creating a unified global platform.

From a financial perspective, this transaction gives Invesco a clean exit while securing meaningful cash that can be redeployed into core operations or returned to shareholders. The deal structure—with 67.5% of the potential value paid upfront and 32.5% tied to future performance—indicates some uncertainty about intelliflo's future growth trajectory. This earn-out structure reduces immediate proceeds but protects Invesco from leaving significant value on the table if intelliflo performs strongly under Carlyle's ownership.

The relatively modest transaction size suggests this won't dramatically alter Invesco's financial position, but it does represent continued execution on streamlining operations. By shedding this fintech subsidiary, management can focus more exclusively on its primary asset management business in an increasingly competitive environment.

ATLANTA and LONDON, Aug. 26, 2025 /PRNewswire/ -- Global investment firm Carlyle (NASDAQ: CG) and Invesco (NYSE: IVZ), a leading global asset management firm, announced today an agreement for Carlyle to acquire intelliflo from Invesco. intelliflo is a market leading provider of cloud-based practice management software for independent financial advisors (IFAs) in the UK. The transaction includes intelliflo's US-based subsidiaries, including RedBlack, a provider of SaaS-based portfolio rebalancing tools, and intelliflo Portfolio, a Portfolio Management software solution for US Registered Investment Advisors (RIAs).

The purchase price of up to $200 million is comprised of $135 million at closing, which is expected in the fourth quarter of this year subject to certain closing conditions, and up to an additional $65 million in potential future earn outs.

Founded in 2004 and headquartered in London, intelliflo offers an end-to-end software platform used by over 30,000 professionals at approximately 2,600 advisory firms, supporting the management of approximately £450 billion in client assets. intelliflo's platform delivers CRM, financial planning, client onboarding, compliance workflows, and reporting functionality. Its cloud-native, multi-tenanted SaaS architecture integrates with over 120 third-party applications. The transaction aims to strengthen intelliflo's market-leading position in the UK and accelerate its growth in Australia.

As part of the transaction, intelliflo's US-based subsidiaries will be established as a standalone business called RedBlack, run by a separate management team. This separation will allow both businesses to better serve and focus on their existing customers and markets. intelliflo will focus purely on delivering market leading software and innovation for the UK and Australian markets, and RedBlack will focus solely on delivering for RIAs and other financial advisors in the United States. Carlyle will support the carve-out of both businesses from Invesco and partner with both leadership teams to execute their respective growth initiatives.

Equity for the investment will be provided by Carlyle Europe Technology Partners ("CETP") V, a €3 billion fund which invests in technology companies across Europe. The CETP team has significant experience in financial software, wealthtech, and vertically focused SaaS, with current and recent investments including SER Group, CSS, SurePay, and Calastone.

Fernando Chueca, Managing Director in the CETP investment advisory team, said: "intelliflo is a mission-critical software provider to the UK's wealth management ecosystem, with a deeply embedded and loyal customer base. We are excited to partner with Nick, Bryan, and the team to unlock the company's full potential and deliver a new stage of growth."

Nick Eatock, CEO and Founder of intelliflo, said: "This is an exciting moment for intelliflo. Carlyle's investment reflects its trust in our business and its deep experience in scaling software companies make it an ideal partner for our next phase of growth. With Carlyle's support, we will continue to focus on delivering great value to our clients, with a renewed focus on building innovative solutions for the evolving needs of our core UK and Australian customer bases."

Bryan Perryman, the CEO of the newly formed RedBlack, said: "Our team is highly motivated by the opportunity to bring our full focus onto the US market as an agile, standalone company. RedBlack has a rich history of delivering market-leading software solutions for our US RIA customer base. We are excited to be backed in this endeavour by a sponsor with the reputation and credentials of Carlyle, which will continue to best position RedBlack to support advisors' needs."

Doug Sharp, Senior Managing Director, Head of Americas and EMEA, at Invesco, said: "As intelliflo and the newly incorporated RedBlack embark on their next phases of growth with Carlyle, we are confident that both companies are well-positioned for continued success and innovation in the wealth technology space. We look forward to our continued relationship with intelliflo and RedBlack through our common interaction with wealth advisor clients."

Evercore served as financial advisor to Invesco and HSF Kramer acted as legal adviser. Altman Solon, PWC, Oliver Wyman and Ringstone conducted due diligence on the acquisition. Gibson Dunn acted as legal counsel to Carlyle.

About Carlyle
Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across three business segments: Global Private Equity, Global Credit, and Carlyle AlpInvest. With $465 billion of assets under management as of June 30, 2025, Carlyle's purpose is to invest wisely and create value on behalf of its investors, portfolio companies, and the communities in which we live and invest. Carlyle employs more than 2,300 people in 27 offices across four continents. Further information is available at www.carlyle.com. Follow Carlyle on X @OneCarlyle and LinkedIn at The Carlyle Group.

About intelliflo
intelliflo provides market-leading practice management solutions to financial advice firms, supporting over 30,000 users across the UK and internationally. Its core SaaS platform, intelliflo Office, is a central system for CRM, planning, compliance, and client communication. intelliflo is shaping the digital future of financial advice.

About RedBlack
RedBlack is a leading provider of wealth technology and managed services, empowering financial advisors to scale with confidence and deliver superior outcomes for clients. With its award-winning investment management solutions, RedBlack enables financial advice firms of all sizes to enhance their value, streamline operations, and drive growth. Trusted by the wealth management industry for over 15 years, RedBlack supports more than $825 billion in assets across its platforms. Discover how RedBlack is redefining investment management at www.RedBlackSoftware.com.

About Invesco
Invesco Ltd. (NYSE: IVZ) is a global independent investment management firm dedicated to delivering an investment experience that helps people get more out of life. Our distinctive investment teams deliver a comprehensive range of active, passive and alternative investment capabilities. With offices in more than 20 countries, Invesco managed US$2 trillion in assets on behalf of clients worldwide as of June 30, 2025. For more information, visit www.invesco.com/corporate. 

Media Contacts

Carlyle
Nicholas Brown
nicholas.brown@carlyle.com
+44 7471 037 002

Invesco
Jane Drew
Jane.drew@invesco.com
+44 2033 701 104

intelliflo
Rebecca Mayo
intelliflo@lansons.com
+44 7974 177 160

RedBlack
Amber Bush
amber@williammills.com
+1 706 248 6272

 

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SOURCE Invesco Ltd.

FAQ

What is the acquisition price for Invesco's intelliflo by Carlyle?

Carlyle will acquire intelliflo for up to $200 million, comprising $135 million at closing and up to $65 million in potential future earn-outs.

How many clients does intelliflo serve before the Carlyle acquisition?

intelliflo serves over 30,000 professionals at approximately 2,600 advisory firms, managing about £450 billion in client assets.

What will happen to intelliflo's US operations after the Carlyle acquisition?

The US-based subsidiaries will be established as a standalone business called RedBlack, operating separately from intelliflo's UK and Australian operations.

When is the Carlyle-intelliflo deal expected to close?

The transaction is expected to close in the fourth quarter of 2025, subject to certain closing conditions.

Which markets will intelliflo focus on after the Carlyle acquisition?

After the acquisition, intelliflo will focus exclusively on the UK and Australian markets, while RedBlack will serve the US market.