Estancia Capital Partners is a leading private equity firm focused on small to lower middle- market private equity investments ($5 million to $50 million), providing Growth and Buyout capital to exceptional Asset Management, Wealth Management and related Business Services companies.
Backed by deep domain expertise, robust industry network and a focused investment strategy, the high-energy team of Estancia Principals are actively conducting diligence on an extensive pipeline of largely proprietarily sourced (non-auction) opportunities, including but not limited to:
- Asset Management businesses representing Institutional and Private Client portfolio management services, Emerging Market Equity/Debt, Quantitative Equities, Outsourced CIO Platform(s) and Manager of Managers Platform(s);
- Wealth Management firms that provide asset allocation, portfolio management and financial planning (tax mitigation, insurance, retirement and estate planning) in a comprehensive services offering, typically operating as Registered Investment Advisors (RIA), Private Banks, Wirehouses, Independent Broker-Dealers (BD) or Hybrids (RIA/BD); and
- Business Services companies (often tech-enabled outsourcing solutions) serving the Asset and Wealth Management industries that may provide distribution, regulatory compliance, data reporting and analytics, transaction cost analysis, trade execution, TAMP(s), portfolio/fund administration and/or financial advice/wealth management tools.
On October 24, 2016, Estancia, alongside the second-generation management team of Abel Noser Holdings, LLC (“Abel Noser”), completed a management-led buyout of the company. New York-based Abel Noser is an industry-leading business services company providing equity, FX, fixed income and futures Transaction Cost Analysis (TCA) services, asset Transition Management (TM) services, and agency-only brokerage services to over 400 large institutional investment managers, asset owners (pension funds, etc.), hedge funds, consultants and broker-dealers.
Estancia Board Representation: Takashi Moriuchi, Dana Alan Kurttila
On April 30, 2015, Estancia, in partnership with Kelso & Company as well as company management, completed the acquisition of American Beacon Advisors, Inc. (“American Beacon”). Established in 1986, Irving, TX based American Beacon is a leading provider of investment advisory services to institutional and retail markets. The company serves defined benefit plans, defined contribution plans, foundations, endowments, corporations and other institutional investors, as well as retail clients. American Beacon also provides corporate cash management and fixed income separate account management.
American Beacon manages the American Beacon Funds, a series of competitively priced mutual funds. The funds employ a “manager of managers” investment style and currently include international and domestic equity, liquid alternatives, fixed income and money market funds.
American Beacon has over $50 billion in assets under management.
Estancia Board Representation: Takashi Moriuchi
On August 23, 2013, Estancia acquired a minority interest in Equinoxe Alternative Investment Services (“Equinoxe”). Founded in 2007, Equinoxe is an “Institutional Quality” boutique fund administrator providing outsourcing solutions for front, middle and back office functions to the alternative industry (hedge funds, private equity, insurance and institutional clients). At the time of Estancia’s investment, Equinoxe had over $12 billion in assets under administration on behalf of over 150 alternative investment funds.
On June 24, 2016, Estancia completed a buyout of an existing investor’s interest in Equinoxe, resulting in Estancia becoming a majority (i.e. control) investor. As of November 2016, the company administered over $22 billion in assets on behalf of approximately 225 alternative investment funds and other clients.
Headquartered in Hamilton, Bermuda, Equinoxe’s global reach includes additional offices in Atlanta, Dublin, Malta, Mauritius, Singapore, and Sligo.
Estancia Board Representation: Takashi Moriuchi, Danny Kang
On December 4, 2015, Estancia provided growth capital to Redwood Investments, LLC (“Redwood”) of Newton, MA. Redwood is an independent investment management boutique, specializing in the management of Large and Small Cap U.S. and International (Developed and Emerging Markets) Equity portfolios for public and private pension and retirement plans, foundations, endowments and private clients. Redwood also offers “Sustainable Investing” strategies incorporating Environmental, Social and Corporate Governance (“ESG”) factors. The company’s portfolio management team employs a differentiated and disciplined investment process integrating in-depth primary bottom-up equity research informed by proprietary quantitative tools. Redwood utilizes fundamental optimization and active risk management to create high active share portfolios while minimizing tracking error and unintended security and portfolio construction risks.
As of November 2016, Redwood had approximately $1.3 billion in assets under management.
Estancia Board Representation: Michael Mendez
On September 26, 2016, Estancia, alongside former Pelican Value Strategy Lead Portfolio Manager Samir Sikka, launched a new investment firm, Sapience Investments, LLC (“Sapience”). Sapience is a value-oriented “Institutional Quality” asset management firm based in Newport Beach, California. Immediately prior to joining Sapience, Mr. Sikka managed over $2.5 billion of AUM in Small and Small/Mid Cap (SMID) Value mandates for principally “Fortune 200” institutional clients. Sapience looks to invest in attractive businesses that are trading at a discount to intrinsic value.
Estancia Board Representation: Michael Mendez, Danny Kang
On December 27, 2013, Estancia entered into an agreement to provide strategic growth capital to Snowden Lane Partners, LLC (“Snowden”). Snowden is an “Institutional Quality” open-architecture, hybrid registered investment advisor (“RIA”) and Broker-dealer seeking to attract high quality profitable financial advisors (“FAs”) primarily from wirehouses.
Led by veteran industry executives Lyle LaMothe, Chairman of the Board of Directors, Rob Mooney, Managing Partner and CEO, and Greg Franks, Managing Partner and President, Snowden’s leadership team possess deep experience and perspective to capitalize on the growing industry trend favoring independent wealth management firms.
Snowden is headquartered in New York City and currently has six additional offices across the U.S. The company has over 30 FAs overseeing approximately $3 billion of client assets.
Estancia Board Representation: Danny Kang, Dana Alan Kurttila, Michael Mendez, Takashi Moriuchi
On October 1, 2012, Estancia entered into an agreement to provide growth capital to Spruce Private Investors, LLC (“Spruce”). Headquartered in Stamford, CT, Spruce provides customized investment strategies and often serves as their clients’ outsourced Chief Investment Officer (“OCIO”). The company utilizes a systematic, global, absolute return investment approach placing particular emphasis on consistency of returns and capital preservation.
Estancia Board Representation: Takashi Moriuchi, Michael Mendez
On August 1, 2013, the Fund acquired a minority interest in Sustainable Growth Advisers (“SGA”) of Stamford, CT. SGA is an “Institutional Quality” boutique traditional asset management firm focused on providing high value-added active U.S. and Global growth equity mandates for principally institutional clients.
As of November 2016, SGA had over $7 billion in assets under management on behalf of institutional, intermediary and retirement plan clients.
Estancia Board Representation: Danny Kang, Michael Mendez