What: Nashville-based retirement fintech company Smart has purchased Athens, Georgia-based Stadion Money Management, according to a news release.
Terms: Terms of the deal, which is expected to close in the first quarter, were not disclosed.
The seller: Stadion provides retirement services to record keepers, asset managers and advisors, according to the release, with $2.3 billion of assets under management and more than 4,000 plans.
The buyer: Smart has more than 70,000 retirement plans on its platform throughout the U.K., Ireland, Dubai and Australia, with more than $2.4 billion in assets on its platform. Founded in 2014, the company is launching its platform in conjunction with the roll out of the SECURE Act, which expands small business owners’ abilities to set up retirement plans and makes many part-time workers eligible for plans. Smart’s cloud-based platform is aimed at helping plan advisors, employers of all sizes, as well as gig economy workers, manage retirement savings. While Smart is based in the U.K., the firm chose Nashville as its U.S. headquarters in 2020.
Why it matters: The deal doubles Smart's U.S. headcount from 40 to 80 employees and extends its southeast presence into Georgia. Stadion’s technology and managed account experience is also expected to improve Smart’s portfolio of retirement offerings, according to the release.
Quotable: "This acquisition marks a pivotal moment for Smart, and also an important moment in combining tech, talent, and resources to make a difference in retirement savings for Americans," Jodan Ledford, CEO of Smart in the U.S., said in the release. "Stadion's strong track record in managed accounts and personalization will enhance our capabilities in delivering personalized solutions, including retirement income. We are excited to bring aboard the full Stadion team, who are united in our vision to transform the retirement marketplace. I have no doubt that our people-first and tech-forward cultures align well."
