Investment firm RiverNorth Capital Management, an investment manager specialising in opportunistic strategies and closed-end funds, has received a passive, minority investment from Kudu Investment Management to reinforce its expansion efforts.
While financial details remain undisclosed, the partnership is aimed at driving both organic and inorganic growth for the boutique firm.
Go deeper with GlobalData
Established in 2000, RiverNorth oversees $5.2bn in assets through separately managed accounts, private funds, and registered funds.
With headquarters in Chicago and West Palm Beach, Florida, the company will continue to be primarily owned and operated by its employees, with Patrick Galley serving as its CEO and chief investment officer.
Kudu, a New York-based provider of permanent capital solutions, has now made 27 investments in asset and wealth managers across North America, the UK, and Australia.
Together, its partner firms manage approximately $123bn in traditional and alternative strategies as of September 2024.
Rob Jakacki, Kudu’s CEO stated: “In Kudu we have found a strategic partner that understands our boutique investment culture and shares our entrepreneurial spirit. Kudu has the capital, expertise, and global network to support our growth both organically and inorganically as we expand our closed-end fund platform and continue to generate superior long-term performance for our clients.”
“RiverNorth has built a prominent franchise as a manager in niche capital markets segments and as a leading sponsor of closed-end funds. Our goal is to support the RiverNorth team as they execute their strategic growth plans.”
Legal and financial advisers involved in the transaction included Seward & Kissel for both parties, as well as Colchester Partners and Regions Securities advising RiverNorth.
