RCS Capital Corp. (NYSE: RCAP) is buying Cetera Financial Group for $1.15 billion in cash.

Cetera provides wealth management services to financial advisers, financial institutions and tax and accounting professionals through Cetera Advisors LLC, Cetera Advisor Networks LLC, Cetera Financial Institutions and Cetera Financial Specialists LLC.

After the deal closes, Cetera and subsidiaries will become part of RCAP’s retail advice group. The deal requires regulatory approvals and is expected to close in the second quarter. The buyer, headquartered in New York, is a holding company that operates a wholesale broker-dealer, an investment banking and capital markets business, a transaction management services provider and a transfer agent.

Cetera was backed by private equity firm Lightyear Capital LLC. During Lightyear’s ownership, the firm added three companies to Cetera and rebranded the company. Also during that time period, the company’s revenue increased from $617 million to about $1.1 billion.

New York-based Lightyear focuses on investing in financial services companies. The firm has about $2.5 billion in capital under management. Other Lightyear investments include Argus Software Inc., Flagstone Reinsurance Holdings Ltd. and Piedmont Community Bank Holdings Inc.

Bank of America Merrill Lynch acted as Cetera’s financial adviser, while Simpson Thacher & Bartlett LLP provided legal advice. 

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