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Dyal Capital acquires minority interest in $2.5bn credit hedge fund

Wednesday, June 28, 2017
Opalesque Industry Update - Atalaya Capital Management, a private credit and special opportunities alternative investment manager, announced today that the firm has entered into a primary transaction with Dyal Capital Partners, a division of Neuberger Berman Group. Dyal will become a passive, non-voting minority partner in Atalaya. All of the proceeds from the investment will be retained on Atalaya's balance sheet to expand the Firm's capabilities and increase the Firm's investment alongside its investors.

Atalaya was founded in 2006 and today manages more than $2.5 billion in assets under management across its Special Opportunities Fund and Asset Income Fund products as well as select other investment vehicles.

Ivan Q. Zinn, Founder and Managing Partner of Atalaya, commented, "Dyal's investment is a significant event for Atalaya as it represents the validation of a deliberate and long-term strategy to build an enduring asset management business. We are thrilled to partner with Dyal, which has earned a reputation for supporting best-in-class managers. This capital allows us to continue developing our business for the future and invest more in our funds, fostering greater alignment with our investors."

Michael Rees, Head of Dyal Capital Partners, added: "Atalaya is an impressive organization with a differentiated approach to sourcing and structuring credit-oriented investments. With Dyal's permanent capital investment and our business platform resources, Atalaya will further enhance its business and market position."

Additional terms of the transaction were not disclosed. PL Advisors advised Atalaya on this transaction.

Atalaya is a privately held, SEC-registered, alternative investment advisory firm with over $2.5 billion in assets under management. Atalaya is a private credit and special opportunities alternative investment manager that invests across three asset classes - financial assets, real estate and corporate. Founded in 2006, Atalaya is headquartered in New York City.

Dyal Capital Partners, a division of Neuberger Berman Group, seeks to acquire minority equity interests in institutional alternative asset management businesses worldwide. Dyal Capital Partners was established in 2011 and currently has 24 minority partnerships.

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