Citi Capital Advisors (CCA), a global alternative asset management platform, has made significant progress towards the separation of certain of its businesses from Citigroup.
The new independent asset management firm will be called Napier Park Global Capital.
Material regulatory approvals have already been obtained and the investor and counterparty consent process is nearly complete. Once the separation is completed during the first quarter of 2013, Napier Park Global Capital will be majority owned by its employees and have a diversified product mix including hedge funds, bespoke client solutions, collateralised loan obligations (CLOs) and private investing. Napier Park is expected to have approximately USD6.8bn of assets under management at inception.
The name, Napier Park Global Capital, was inspired by the 16th century Scottish mathematician and physicist, John Napier, who was best known for originating the concept of logarithms as a way to simplify large, complex calculations.
“We are very pleased with the progress we have made as we prepare to officially launch Napier Park as an independent asset management firm in the coming months. The support of our investors has been overwhelmingly positive and we are grateful for their partnership. Our goal is to continue to innovate and perform for them as we move forward,” says CCA co-chief executive Jim O’Brien.
Separately, the firm is being appointed the portfolio manager of a USD415m CLO fund scheduled to close this quarter. The CLO platform, currently USD2.4bn AUM, and the credit/loan strategies will continue to be a key investment centre at Napier Park after the separation from Citi is completed.
