Commonwealth Financial Network Sold to LPL Financial for $2.7 Billion

Deal News | Apr 01, 2025 | Ropes & Gray

LPL Financial Holdings Inc. has announced a definitive purchase agreement to acquire Commonwealth Financial Network, a leading independently owned wealth management firm. The transaction, valued at approximately $2.7 billion in cash, involves LPL acquiring all equity interests in Commonwealth's holding company. Commonwealth, founded in 1979 and based in Waltham, Massachusetts, serves around 2,900 financial advisors and manages approximately $285 billion in brokerage and advisory assets. Ropes & Gray advised Commonwealth in this transaction, with a team comprising several specialist partners from various practice areas. This acquisition signals a significant consolidation in the wealth management industry.

Sectors

  • Wealth Management
  • Financial Services

Geography

  • United States – Both companies, Commonwealth Financial Network and LPL Financial, are based in the United States, with Commonwealth headquartered in Waltham, Massachusetts.

Industry

  • Wealth Management – The article features a major transaction in the wealth management sector, involving Commonwealth Financial Network, a prominent player in the industry.
  • Financial Services – The acquisition affects a range of financial services provided by both the acquiring company, LPL Financial, and the target, Commonwealth Financial Network.

Financials

  • $2.7 billion – The purchase price for the acquisition of Commonwealth Financial Network by LPL Financial.
  • $285 billion – The amount of brokerage and advisory assets managed by Commonwealth Financial Network.

Participants

NameRoleTypeDescription
Commonwealth Financial NetworkTarget CompanyCompanyThe largest independently owned wealth management firm in the U.S., with approximately 2,900 financial advisors and managing $285 billion of assets.
LPL Financial Holdings Inc.Bidding CompanyCompanyThe acquiring company in the deal, LPL Financial is a major player in the investment and brokerage sector.
Ropes & GrayLegal AdvisorCompanyProvided legal advisory services to Commonwealth Financial Network for this transaction.