CHICAGO (AP) -- Prudential Financial Inc. is selling off a small part of its business, a wealth management services unit, to financial services firm Envestnet Inc. for up to $33 million.
Envestnet sells technology and services to investment advisers. It said Friday that it's buying the division, Wealth Management Solutions, to help it expand its business with banks.
Wealth Management Solutions makes up a small part of Prudential's overall business, so the best way for it to grow was to find a buyer, said Prudential spokeswoman Theresa Miller.
Wealth Management Solutions administered approximately $22 billion on behalf of institutional clients as of the end of 2012. Prudential, based in Newark, N.J., provides insurance, investment management and other financial services to institutions and individuals. It has about $1.06 trillion in assets under management.
Envestnet is buying the business for $10 million in cash, plus up to $23 million in additional cash payments that will be made over three years. The deal is expected to close in the third quarter.
Shares of Envestnet added 10 cents to $18.25 amid a broader market decline. Prudential shares fell $1.05, or 1.8 percent, to $56.59.