Rithm Crosses $102b In Investable Assets With Crestline Acquisition

Rithm Capital Corp., the parent of multichannel lender Newrez, completed its acquisition of Crestline Management on Monday, pushing its investable assets past $102 billion.

The deal “is a significant milestone in Rithm’s evolution and demonstrates our commitment to building a world-class investment platform,” CEO Michael Nierenberg said in a statement. 

Crestline adds $17 billion in assets under management and extends Rithm’s capabilities into direct lending, fund liquidity solutions, insurance and reinsurance.

“Our teams have already begun working together to identify opportunities to integrate our capabilities and support the expansion of Rithm’s broader platform,” Doug Bratton, founding partner and CEO of Crestline, said in a statement. Keith Williams, managing partner and chief investment officer, added that the firm is “expanding our reach, enhancing our capabilities, and unlocking new avenues for differentiated alpha.”

Rithm was advised by J.P. Morgan Securities LLC, while Piper Sandler & Co. advised Crestline.

The acquisition builds on Rithm’s recent M&A deals, including its $720 million purchase of Sculptor Capital Management.

With Sculptor and Crestline now onboard, Rithm has grown to 200 investment professionals managing $47 billion of on-balance-sheet assets and $55 billion in assets under management across asset-based finance, real estate, and structured and corporate credit strategies.

Beyond asset management, Rithm has remained active on the consumer and mortgage front. The company acquired $1.4 billion in consumer loans from Goldman Sachs, reached an agreement to buy Computershare Mortgage Services and its subsidiary Specialized Loan Servicing, partnered with Upgrade on $1 billion in home improvement loans, and formed a partnership with an institutional investor for a potential $1.5 billion in residential transitional loans.