Deals

Wells Fargo Sheds Its Asset Manager as Scharf Reshapes Bank

  • Divestiture is part of CEO’s push to simplify the company
  • Bank’s focus will be on expanding wealth, brokerage businesses
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Wells Fargo & Co. plans to sell its asset-management business to two private equity firms, part of Chief Executive Officer Charlie Scharf’s efforts to dump non-essential operations and help the bank emerge from years of scandals.

GTCR LLC and Reverence Capital Partners agreed to buy Wells Fargo Asset Management for $2.1 billion, according to a statementBloomberg Terminal Tuesday. The unit has $603 billion of assets under management and employs more than 450 investment professionals.