Third Point acquires credit manager AS Birch Grove
Third Point has entered into an agreement to acquire diversified alternative credit fund manager AS Birch Grove from American Securities.
The deal is expected to close in the first quarter of 2025, after which point Birch Grove will become a subsidiary of Third Point.
Birch Grove was founded in 2013 by chief executive and chief investment officer Jonathan Berger and president Andrew Fink.
It has accrued approximately $8bn (£6.38bn) in assets under management to date, by pursuing strategies including collateralised loan obligations (CLOs), opportunistic private credit solutions, multi-strategy credit, senior loans, and high-yield bonds.
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Following the completion of the deal, Berger will maintain his responsibilities at Birch Grove and will additionally become co-head of credit at Third Point alongside Third Point partner Ian Wallace.
While Birch Grove and Third Point’s existing funds will be run separately, Berger will work with Third Point’s credit team to develop new products reflecting the firm’s complementary strategies.
“Birch Grove’s businesses further diversify our credit platform,” said Third Point’s chief executive Daniel S. Loeb.
Read more: Third Point enters private credit market
“Their well-established CLO franchise has strong momentum, and their capital solutions business complements our new private credit strategy.
“As each firms’ investors seek alternative-credit opportunities for their portfolios, I am confident that this combination will offer compelling solutions.”
Birch Grove has 17 credit analysts and five credit origination professionals sourcing credit opportunities across North America and Europe. The team will maintain their roles and responsibilities for managing Birch Grove’s assets following the acquisition.
“We are delighted to become part of the Third Point platform,” said Birch Grove’s Berger.
“Third Point’s three-decade track record of successfully investing in credit markets and tenured team of investment professionals will help drive our funds forward.”
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