Investcorp’s Strategic Capital Group (ISCG) made a growth investment in Banner Ridge Partners, giving the New York-based alternative assets manager its second cash injection this year following the closing of Banner Ridge Secondary Fund V at its hard cap of $2.15 billion.
The deal makes ISCG a passive, non-voting partner in Banner Ridge, a $7.3 billion firm pursuing strategies including secondaries, co-investments and special situations. Banner Ridge plans to invest all proceeds from the transaction — financial terms of which were not disclosed — to support growth, with no changes to its team or investment processes.
“This partnership with Investcorp comes at an exciting time for Banner Ridge as we seek to capitalize on the momentum of our recent fund close, and execute upon investment opportunities across distressed, special situations, and credit strategies in a market environment that our firm was built to thrive in,” said Banner Ridge Co-founders Anthony Cusano and C.J. Driessen.
Investcorp’s SCG targets long-term strategic partnerships with well-established, mid-sized alternative asset managers with successful track records and growth potential. Since its inception in 2019, SCG has taken minority investments in firms including Marblegate and Eagle Tree Capital.
“Banner Ridge has established itself as a leader in identifying and partnering with top managers across distressed, special situations and credit,” said Anthony Maniscalco, managing partner and head of ISCG. “We’re excited to be a partner for growth as the team capitalizes on opportunities in these attractive and growing markets.”
Bahrain-based Investcorp, which has been operating as an investment manager since 1982, operates across 14 global offices and has $50 billion in assets, including those managed by third party managers.