AlTi Tiedemann Global Closes Additional Investment by Constellation Wealth Capital
AlTi Global, a leading independent global wealth and alternatives manager with over $70 billion in assets, has closed a $35 million investment from Constellation Wealth Capital (CWC). This is the second investment by CWC, bringing their total investment in AlTi to $150 million as part of a larger $450 million strategic investment also involving Allianz X. AlTi sold 35,000 shares of Series C Convertible Preferred Stock and issued warrants for 466,667 shares of Class A Common Stock. The details are available in AlTi's Form 8-K filing with the SEC.
- AlTi Global closed a $35 million investment from CWC, enhancing its capital base.
- Total investment from CWC in AlTi now stands at $150 million, indicating strong investor confidence.
- Part of a strategic investment plan of up to $450 million, showcasing long-term growth prospects.
- AlTi manages over $70 billion in combined assets, highlighting its market position.
- The creation and sale of Series C Convertible Preferred Stock could provide financial flexibility.
- Issuance of 35,000 shares of Series C Convertible Preferred Stock may lead to shareholder dilution.
- Additional warrants for 466,667 shares of Class A Common Stock could further dilute current shareholders.
- The need for substantial external investment might indicate underlying capital requirements or financial constraints.
Insights
AlTi Global has secured an additional $35 million investment from Constellation Wealth Capital (CWC). This is part of a larger strategic investment plan of up to $450 million from Allianz X and CWC. Such investments can provide substantial financial stability and growth opportunities for AlTi.
The issuance of Series C Convertible Preferred Stock and warrants to purchase Class A Common Stock implies potential future dilution of existing shares. Retail investors should consider how this might affect their current holdings. The additional capital will likely be used to expand business operations, acquire new clients, or invest in technology enhancements, all of which could drive future profitability.
The Form 8-K filed with the SEC will provide detailed insights into the terms of the investment, which is essential for understanding the long-term financial impact and strategic direction of AlTi. Given the significant influx of capital and the strategic partnership, investors might find this news favorable in the context of business growth and market positioning.
In summary, this investment could bolster AlTi's market presence and competitive edge, but investors should remain cautious about potential share dilution and closely monitor the company's strategic moves and financial health.
This additional $35 million investment by CWC into AlTi Global's Series C Convertible Preferred Stock indicates strong confidence in AlTi's strategic direction and market potential. For retail investors, understanding the implications of this can be crucial. Preferred stocks often come with dividend preferences and conversion rights which can impact common shareholders.
Moreover, the issuance of additional warrants to purchase Class A Common Stock can lead to future stock dilution. Warrants are typically used to incentivize investors, but they can affect current share value when exercised. The detailed terms in the SEC's Form 8-K are vital for gauging the potential impact on stock performance.
Overall, the investment reflects optimism about AlTi’s ability to generate future returns and maintain a competitive edge in the wealth management sector. However, the potential dilution and strategic deployment of this capital should be closely watched to ensure alignment with shareholder interests.
Under the terms of the investment agreement, as previously disclosed, AlTi sold to CWC 35,000 additional shares of newly created Series C Convertible Preferred Stock for a purchase price equal to
Further details are included in the Company’s current report on Form 8-K filed with the Securities and Exchange Commission.
About AlTi
AlTi is a leading independent global wealth and alternatives manager providing entrepreneurs, multi-generational families, institutions, and emerging next-generation leaders with fiduciary capabilities as well as alternative investment strategies and advisory services. AlTi’s comprehensive offering is underscored by a commitment to impact or values-aligned investing and generating a net positive impact through its business activities. The firm currently manages or advises on over
About Constellation Wealth Capital
Constellation Wealth Capital is an alternative asset management platform dedicated to the wealth management sector. CWC provides flexible, long-term capital solutions, and strategic advisory support to scaled wealth management platforms.
CWC leverages its deep industry experience and relationships for the benefit of its partner firms. Learn more at www.constellationwealthcapital.com.
Forward-Looking Statements
Some of the statements in this press release may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 (the “Securities Act”), Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking. Words such as “anticipate,” “believe,” “continue,” “estimate,” “expect,” “future,” “intend,” “may,” “plan” and “will” and similar expressions identify forward-looking statements. Forward-looking statements reflect management’s current plans, estimates and expectations and are inherently uncertain. The inclusion of any forward-looking information in this press release should not be regarded as a representation that the future plans, estimates or expectations contemplated will be achieved. Forward-looking statements are subject to various risks, uncertainties and assumptions. Important factors that could cause actual results to differ materially from those in forward-looking statements include, but are not limited to, global and domestic market and business conditions, successful execution of business and growth strategies and regulatory factors relevant to our business, as well as assumptions relating to our operations, financial results, financial condition, business prospects, growth strategy and liquidity and the risks and uncertainties described in greater detail under “Risk Factors” included in AlTi’s registration statement on Form 10-K filed March 22, 2024, as amended on April 5, 2024, and in the subsequent reports filed with the SEC, as such factors may be updated from time to time. We undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.
Additional Information and Where to Find It
The Company filed a definitive proxy statement on Schedule 14A with the SEC on May 10, 2024 in connection with the investment transactions described in this press release and the Company’s solicitation of proxies for use at the 2024 annual meeting of stockholders of the Company (“stockholders”), or at any adjournment or postponement thereof, to vote in favor of approval of amendments to the Company’s amended and restated certificate of incorporation and the issuance of an amount of shares of Class A Common Stock to Allianz equal to
The Company and its executive officers and directors may be deemed to be participants in the solicitation of proxies in connection with the transactions. Information about those executive officers and directors of the Company and their ownership of the Company’s common stock and other equity securities is set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, which was filed with the SEC on March 22, 2024, and amended by the Form 10-K/A filed with the SEC on April 5, 2024. Investors and security holders may obtain additional information regarding direct and indirect interests of the Company and its executive officers and directors in the transactions by reading the proxy statement and prospectus when it becomes available.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240514321451/en/
AlTi Investor Relations:
Lily Arteaga, Head of Investor Relations, investor@alti-global.com
AlTi Media Relations:
Alex Jorgensen, pro-alti@prosek.com
Constellation Wealth Capital Media Relations:
Mike Geller, mgeller@prosek.com
Source: AlTi Global, Inc.
FAQ
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