Norfolk-based Wilbanks Smith & Thomas Asset Management was acquired by Cleveland, Ohio-based Clearstead Advisors on April 1.
“It’s the next chapter for the firm,” said Wayne Wilbanks, executive managing director of the newly formed division, Clearstead Advisory Solutions.
With all 45 employees still on board following the acquisition, Wilbanks assured clients they will see little change, except for the company’s name.
Wilbanks, Norfleet “Fleet” Smith and the late Norwood Thomas founded their financial advisory firm in 1990. As a division of Clearstead Advisors, it will maintain its current footprint of operations that stretches from Norfolk south to several East Coast states. The financial terms of the acquisition were not disclosed.
“I’ve never been more excited in the last 10 years than I am today post-merger,” Wilbanks said.
Wilbanks Smith and Thomas Asset Management had grown consistently over the past three decades. Prior to the merger, the firm had about $5.5 billion in assets under management and advisement, he said. The company has been in Inside Business’ Top Workplaces, and Wilbanks has graced the Power List several times.
The genesis for the merger started three years ago and was the culmination of three drivers, he said.
The firm began looking nationally for a minority partner to replace a private equity firm’s 35% share of the company as that fund was coming to an end, Wilbanks said. Instead, the search evolved to a full sale and the six partners at the firm became shareholders in Clearstead.
“We must’ve talked to 20 to 30 firms over those three years,” Wilbanks said. “By far and away, Clearstead is the top firm we talked to. They’re highly organized, very well run and humble.”
Eager to incorporate additional services, Wilbanks said Clearstead boasts a robust portfolio that will enable the business to broaden its in-house resources, including family office, institutional consulting and alternative investments such as private equity and private credit.
Dave Fulton, chief executive of Clearstead, said in a news release that strategic and prudent mergers make it a stronger firm. Clearstead, started in 1989, has more than 220 employees with more than a quarter of them shareholders in the company.
“Each (merger) brings talent and capabilities to serve clients more effectively, which is our primary focus,” Fulton said.
The final cog that led to the merger was succession planning, Wilbanks said.
“It was logical at some point we would want to give a roadmap to our younger future leaders in the firm,” he said. “We’ve got a great group of future rock stars coming up the ranks.”
Sandra J. Pennecke, 757-652-5836, sandra.pennecke@pilotonline.com