Parkwood Buys Stake in Private Equity Firm
- Apr 12, 2017
By Laura Calugar
The Riverside Co. recently sold a nonvoting minority stake to Parkwood LLC, a limited partner in multiple Riverside funds. Parkwood’s acquisition of just under 10 percent of the firm will all be in primary capital. An employee option plan has also been established to retain and reward employees. Keefe, Bruyette & Woods and Jones Day advised Riverside on the deal.
According to Crain’s Cleveland Business, the cash investment at the management level will be used exclusively to grow existing initiatives, including controlling equity funds, minority investment funds and some credit-related funds.
“This investment is a natural element of Riverside’s three decades of growth and its position as a leader at the smaller end of the middle market,” said Riverside Co-CEO Béla Szigethy.
Founded in 1988, the Riverside Co. currently has more than 80 companies in its international portfolio. Based in Cleveland, Parkwood offers investment advisory services, financial and tax services, multi-generational estate planning and other professional services.
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