Investment bank Houlihan Lokey has snapped up BearTooth Advisors, a UK-based independent advisory firm, for an undisclosed sum.
BearTooth, a division of Riverstone Capital Services and Riverstone Europe, delivers strategic advisory and placement agency services to alternative investment managers.
The acquisition will lead to the creation of a new Private Funds Group, which will be a new service within the corporate finance arm of Houlihan Lokey.
Houlihan Lokey co-president and co-head of corporate finance Scott Adelson said: “The establishment of the Private Funds Group both underscores and takes advantage of two of Houlihan Lokey’s key strengths: a breadth and depth of financial sponsor relationships that is perhaps unmatched in financial services and our prescient recognition of the prevalence and increasing importance of alternative sources of capital.
“The new group is a logical extension of that expertise and market knowledge, and combined with our other successful services such as Illiquid Financial Assets and Capital Markets, we are positioning ourselves to be the leader in client service in this important and growing asset class.”
The new Private Funds Group will be headed by BearTooth founders Bob Brown, Andy Lund, and Jim McGee.
“When forming BearTooth, we set out to provide general partners with a more strategic alternative to legacy fundraising options, believing that certain industry dynamics had created a unique opportunity to do so. Since then, we have found the opportunity itself to be more significant, growing more rapidly than originally thought. We look forward to joining Houlihan Lokey and the opportunity to offer our unique value proposition to both new and existing clients,” Brown noted.