At a glance
- Mount Logan Management, a wholly owned RIA of Mount Logan Capital, is buying business records, intellectual property and goodwill that Alternative Fund Advisors holds in connection with managing the fund.
- The AFA fund accounts for roughly $230 million of that total.
- The fund will be renamed the Mount Logan Asset Based Lending Fund and will keep a mandate of broadly diversified asset-based lending and specialty finance credits.
Mount Logan Management agreed to become investment adviser to AFA Asset Based Lending Fund, a roughly $230 million interval fund, under an asset purchase agreement reported by ABF Journal on Oct. 26.
Mount Logan Management, a wholly owned RIA of Mount Logan Capital, is buying business records, intellectual property and goodwill that Alternative Fund Advisors holds in connection with managing the fund.
The deal lifts Mount Logan's combined interval fund assets to about $460 million and gives the private wealth channel a second Mount Logan evergreen credit interval fund. The AFA fund accounts for roughly $230 million of that total. The parties did not disclose a purchase price or expected closing date.
Same mandate, larger adviser
The fund will be renamed the Mount Logan Asset Based Lending Fund and will keep a mandate of broadly diversified asset-based lending and specialty finance credits. Mount Logan said shareholders are expected to benefit from its scale, resources and in-house origination capability.
Ted Goldthorpe, Mount Logan's chief executive, said the deal extends the firm's distribution reach in the private wealth channel. AFA chief executive Marco Hanig said Mount Logan's resources and expertise should let the fund pursue direct origination alongside third-party channels.
Mount Logan said it expects the transaction to be immediately accretive to fee-related earnings on closing.
Reported by the Evergreen & Interval Funds desk from ABF Journal. Published . Corrections