Last month, The MFWire.com reported
that active ETF shop Grail Advisors
was on the lookout for a strategic partner.
Now, Grail Advisors revealed that it "has entered into a letter of intent concerning a transaction involving its ownership interests in order to enable it to continue its operations, including paying its future obligations under its fee waiver and expense reimbursement agreements." [SEC filing
In the same filing, made yesterday, the company also said that if it were "unsuccessful in its efforts to consummate a transaction or to recapitalize, all of the ETFs may be liquidated."
Grail Advisors CEO Bill Thomas could not immediately be reached for comment this afternoon.
The San Francisco-headquartered company offers five actively managed ETFs: RP Focused Large Cap Growth ETF
, RP Growth ETF
Grail McDonnell Intermediate Municipal Bond ETF
, Grail McDonnell Core Taxable Bond ETF
and Grail American Beacon Large Cap Value ETF
Investment bank Grail Partners
owns around half of Grail Advisors. Thomas and ex-Janus Capital CEO and Grail Advisors board member Gary Black
are among the other owners.
Stay ahead of the news ... Sign up for our email alerts now