Genworth to Sell Wealth Management Business

Genworth Financial Inc plans to sell two of its businesses, including its wealth management business, in an effort to raise capital, according to three sources familiar with the situation.

The Richmond, Virginia-based company wants to sell its Pleasant Hill, California-based wealth asset management business, which has over $20 billion in assets under management and sells its portfolios through about 6,000 third-party advisers around the country.

The sources also said Genworth is looking for a buyer for Altegris, its San Francisco-based alternative investments provider with $3.36 billion in client assets. The sources wished to remain anonymous because they were told about the deal in confidence. Genworth bought Altegris in 2010 for $35 million, plus additional performance-based payments.

Genworth is working with Goldman Sachs & Co as the banker for the deal, said one of the sources, who estimated that if the two businesses were sold together they could be valued at around $400 million.

A Genworth spokesman declined to comment. A Goldman spokeswoman also declined to comment.

(Reporting By Jessica Toonkel; editing by John Wallace and Carol Bishopric)