Falfurrias Capital Partners, a private equity firm based in Charlotte, N.C., has acquired controlling interest in Dorsey Wright & Associates to become a strategic partner with the Richmond, Va.-based technical research company.

Dorsey Wright & Associates supplies technical research services to stockbrokers, money managers and individual investors. It also provides advisory services to exchange-traded funds and mutual funds and provides technical analysis for 401(k) plan managers. Dorsey Wright offers investment research services for broker-dealers and large institutions around the world and professionally manages equity portfolios for investors through a money management firm.

Terms of the deal were not disclosed.

Falfurrias, which prefers to invest in growth-oriented, middle-market companies, has lately been focusing on financial service investments. Falfurrias was founded by Hugh McColl Jr., former Bank of America chairman and CEO, and Marc D. Oken, former Bank of America CFO.

The acquisition is designed to combine the business model of Dorsey Wright with the capital and financial service industry relationships and operational expertise of Falfurrias, according to the companies. The investment will give Dorsey Wright expanded resources and access to a network of financial industry contacts.

Dorsey Wright co-founder Tom Dorsey will remain president of Dorsey Wright. No changes are planned for the company, he said. The financial deal was sparked by the retirement of Dorsey Wright co-founder Watson Wright, which is expected to take place in the next few months.

"The majority of brokers start their day with our portfolio charting system and research on their desks every morning," Dorsey says. "We have the largest charting system and cover every stock in every country, as well as managing ETFs and mutual funds ourselves."

The other factor that influenced the decision, he said, is that he and the owners of Falfurrias share a military background. "There's a certain character in that military background that fits us," he said.

-Karen DeMasters