Lovell Minnick Partners, an independent private equity firm, is to acquire Kanaly Trust, the Houston, TX-based wealth management and trust services provider. Financial details of the transaction were not disclosed.

According to a statement, proceeds from the transaction will be used to provide liquidity to certain existing shareholders and promote future company growth. The transaction is expected to close in the final quarter of 2012, subject to customary regulatory reviews and approvals.

As part of the move, the Kanaly family - along with members of the senior management team of Kanaly Trust - will retain a material investment in the firm and continue their focus on clients. Drew Kanaly will retain his role as chairman of Kanaly Trust, while Jeff Kanaly serves as vice chairman.

Meanwhile, Bill Rankin is expected to join Kanaly as chief executive, effective when the deal closes. Rankin was most recently president and CEO of Shelterwood Financial. He has also held executive roles at Rockefeller & Co, Atlantic Trust, Stein Roe Investment Counsel and Mellon Bank.

“The acquisition of Kanaly Trust resulted from an extended search undertaken by our firm to identify a leading platform investment within the trust and wealth management space," said Jim Minnick, president and managing director at Lovell.

With some $2 billion in assets under management, Kanaly Trust serves as trustee or executor for estates totaling more than $2.5 billion. It also provides financial planning and trust/estate services to families, individuals and estates with assets of at least $1 million.

Lovell Minnick Partners has offices in Philadelphia, PA, and Los Angeles.