Envestnet, Inc. (NYSE:ENV) is exploring options that could include a potential sale after receiving takeover interest, people familiar with the matter said on April 16, 2024. Berwyn, Pennsylvania-based Envestnet is working with investment bank Morgan Stanley (NYSE:MS) to engage with potential acquirers, the sources said, requesting anonymity as the discussions are confidential. Private equity firms, including Bain Capital, LP, are among the parties that have expressed interest in acquiring Envestnet, the sources added, cautioning that no deal is certain.

Shares of Envestnet jumped more than 10% on the news before paring those gains to close at $61.80. Last year, Envestnet added three new directors to end a board challenge from activist investor Impactive Capital that had been pushing the company to improve its performance by cutting costs. Envestnet and Morgan Stanley declined to comment.

The company previously explored a sale in 2022 after being approached by potential buyers, the sources said.