Sept 26 (Reuters) - TPG has agreed to buy a

minority stake in Homrich Berg, in a deal that values the wealth

management firm at around $1 billion, people familiar with the

matter said on Thursday.

As part of the transaction, TPG picks up an ownership stake

in the company, which is currently controlled by its management

team and private equity firm New Mountain Capital, the sources

said, requesting anonymity as the discussions are confidential.

Wealth managers, such as Homrich Berg, have traditionally

attracted strong interest from private equity investors, who

like to bet on companies that generate steady cash flows. The

wealth management industry's fragmented nature also means

platforms can often be scaled quickly through subsequent

acquisitions of rivals.

TPG, New Mountain, and Homrich Berg did not immediately

respond to requests for comment.

Atlanta-based Homrich Berg is an independent financial

adviser and wealth management firm with offices in Georgia,

Florida, South Carolina and Tennessee. It is a top-50 registered

investment adviser in the United States, with more than $17

billion of assets under management, according to its website.

Homrich Berg has been seeking a new minority investor to

provide growth capital for the company but also to allow New

Mountain to partially exit its investment.

New Mountain invested in Homrich Berg in 2021, although the

financial terms of the transaction were not disclosed.