B. Riley terminates advisory services division, transfers it to TorQuest
In a significant move to refocus on its core financial services, B. Riley Financial, Inc. (NASDAQ: RILY) has sold its advisory services business, GlassRatner Advisory & Capital Group, LLC (dba B. Riley Advisory Services) and B. Riley Farber Advisory Inc., collectively known as GlassRatner, to funds managed by Toronto-based private equity firm TorQuest Partners for $117.8 million.
Established as a leading provider of specialized professional and advisory services, GlassRatner has around 200 employees across offices in the US, Canada, and Mexico, based in Atlanta, Georgia. The company's areas of expertise include bankruptcy and restructuring, forensic accounting, litigation support, construction engineering consulting, transaction support, retained executive searches, and compliance, risk, and resilience consulting.
GlassRatner was acquired by B. Riley Financial in August 2018 and delivered record results in 2024, demonstrating strong performance across its core service lines. The sale of GlassRatner will provide additional capital to support growth initiatives and strengthen B. Riley Financial's capital structure.
Ian Ratner, CEO of GlassRatner, expressed his gratitude for the partnership with B. Riley Financial, stating, "Growing GlassRatner in partnership with B. Riley Financial has been an incredible journey."
With the divestiture of GlassRatner, B. Riley Financial aims to streamline its operations and refocus on its historical strengths. The company's primary focus moving forward is to invest in its middle-market investment bank, BRS, and its complementary business, B. Riley Wealth Management. Ongoing reinvestment in these core businesses is a critical priority to enhance long-term shareholder value.
B. Riley Financial, through its subsidiaries and affiliates, offers solutions in investment banking, institutional brokerage, private wealth and investment management, financial consulting, corporate restructuring, appraisal and valuation, as well as auction and liquidation services.
In a separate development, B. Riley Financial agreed to sell a portion of its wealth management business to Stifel Financial, a US-based firm, in November 2024.
By selling GlassRatner to TorQuest, B. Riley has positioned itself to concentrate on core financial services, leverage capital for organic and inorganic growth, and reinforce its commitment to its foundational businesses. GlassRatner is now expected to continue its growth trajectory under TorQuest’s stewardship, leveraging its established advisory capabilities in the market.
- The sale of GlassRatner to TorQuest Partners, a private equity firm, will allow B. Riley Financial to focus on AI and finance-related services such as wealth management and investing in its middle-market investment bank, BRS.
- Under TorQuest Partners' stewardship, GlassRatner, a leading provider of compliance, risk, and resilience consulting, is expected to continue its growth trajectory and further leverage its advisory capabilities in private equity and business sectors.
- As B. Riley Financial moves towards concentrating on its core financial services, it plans to implement AI and technology for wealth management and compliance while also seeking organic and inorganic growth opportunities for its remaining businesses.
