RICHMOND, Va., Oct. 3, 2012 /PRNewswire/ -- Private Advisors, LLC announced today that it has acquired the investment advisory business of Cuyahoga Capital Partners, LLC, a Cleveland, Ohio-based independent secondaries-focused private equity firm. As part of the transaction, Cuyahoga Capital's investment professionals will be joining Private Advisors' private equity team and will be focused upon the deployment of their latest secondaries fund, which recently held its final close above its $125 million target.
Cuyahoga Capital is focused on value-oriented, secondary private equity investing. The firm manages approximately $817 million, which includes approximately $203 million across its four secondary private equity funds, $65 million in one primary private equity fund of funds and $549 million in advisory relationships.(1) Private Advisors, LLC will be taking over as General Partner for Cuyahoga's limited partnerships and assuming management of its advisory relationships. The two founders and principals of Cuyahoga, Bart Shirley and Chris Hanrahan, who are both joining Private Advisors, formerly managed the fund of funds unit of Key Capital Corp., a subsidiary of KeyCorp, for eight years until amicably spinning out in 2011 as Cuyahoga Capital. They both bring significant experience and well-established relationships in primaries, secondaries and co-investments to Private Advisors' private equity platform.
Chip Moelchert, a Partner with Private Advisors, commented on the firm's new affiliation. "In Cuyahoga, Private Advisors has chosen a well-known partner that has a skilled team and successful track record in both primary and secondary private equity markets. This strategic alliance allows us to provide investors with a more complete offering that encompasses a broader spectrum of private equity structures including primary fund investments, secondary investments and direct co-investments."
In addition to Cuyahoga's proven capability in the secondary market, their team also has a successful track record in growth equity and buyout investing in the lower end of the middle market in North America. Consequently, Cuyahoga's professionals will be a valuable resource due to their knowledge and relationships in Private Advisors' core market. Cuyahoga will benefit from Private Advisors' deep sourcing capability, rigorous investment and operational due diligence processes, back office support and third-party service providers.
"We are very excited to join Private Advisors given our long-standing relationship over the last decade," said Mr. Shirley of Cuyahoga. Mr. Hanrahan of Cuyahoga added, "We have invested alongside each other as limited partners in several lower middle market funds in the past and share a similar investment philosophy. We just wrapped up fundraising for our fourth secondaries-focused private equity fund, which will allow us time to invest capital and integrate into Private Advisors' business before raising our next fund a few years from now."
Private Advisors, LLC, an affiliate of the Investment Group of New York Life Insurance Company, one of America's strongest and most well regarded financial institutions, manages approximately $4.5 billion in assets with over 70 employees as of September 30, 2012. The firm was founded in 1997 and provides investors with expertise in North American small company private equity investing as well as diversified hedge fund strategies.
(1) Asset figures reported by Cuyahoga Capital Partners, LLC are estimates as of June 30, 2012.
SOURCE Private Advisors, LLC