Genstar Capital Agrees to Buy Majority of Cetera Financial (1)

Private equity firm Genstar Capital agreed to buy financial planning conglomerate Cetera Financial Group Inc.

Genstar is paying about $1.7 billion for El Segundo, Calif.-based Cetera, according to people familiar with the matter, who asked to not be identified because the financial terms weren’t disclosed.

Cetera management will keep a “meaningful” ownership stake, according to a statement from the companies July 17. The deal is expected to close by the end of September.

Cetera controls a network of broker-dealers that offers various wealth and asset management services to both individuals and businesses, according to its website. It was the ...