Alternative asset management Mubadala Capital (US$27 billion AUM) is set to acquire a 42% stake in Los Angeles-based corporate credit asset manager Silver Rock (US$10 billion AUM).
The firm, a subsidiary of Abu Dhabi’s state-owned Mubadala Investment Company, aims to increase its presence in the credit market. It will grow its ownership of Silver Rock to 50% over time, committing more than US$1 billion to Silver Rock funds.
The group recently entered into an agreement to take Canadian asset manager CI Financial private with an all-cash offer that valued the manager’s equity at CAD $4.7 billion.
Oscar Fahlgren, chief investment officer at Mubadala Capital, said, “Diversification and scale are becoming increasingly important qualities for alternative asset managers in order to deliver value for investors. This transaction extends Mubadala Capital’s ability to provide differentiated returns and capabilities to source and support a wider range of attractive investment opportunities from around the world.”
Both companies will continue to operate independently, with Carl Meyer remaining CEO and chief investment officer at Silver Rock.
“This transaction allows us to tap into Mubadala Capital’s global reach, capabilities, and geographic and industry expertise,” Meyer commented.
The acquisition will be made through a combination of cash and stock, with the latter bringing Meyer and Michael Haberkorn, co-founder and co-portfolio manager at Silver Rock, into its asset management business as external shareholders. The investment management arm of the Milken Family Office, M-Cor Capital, will also become a shareholder. The transaction is expected to close by Q2 2025.
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