Rithm Capital Corp. has agreed to acquire alternative asset manager Sculptor Capital Management in a transaction valued at about $639 million.
Sculptor has $34 billion in assets under management, said a Monday news release.
Rithm, a manager of assets and investments focused on the real estate and financial services sectors, has $32 billion in AUM, according to the company's website.
Sculptor's investment and leadership teams will continue in their current roles and certain members of the Sculptor leadership team who hold 26% of outstanding Sculptor voting shares have agreed to vote in favor of the transaction.
The transaction is expected to close in the fourth quarter of 2023.
At closing, Sculptor will operate as a subsidiary of Rithm and will continue to be led by Jimmy Levin, as CIO and executive managing partner, reporting to Michael Nierenberg, CEO, president and chairman of Rithm.
Mr. Nierenberg was not immediately available for comment but in the release said the transaction is "transformational for Rithm" and added that the acquisition will "bring together two organizations with strong track records, excellent management teams and seasoned investment professionals."
"Sculptor has a tremendous global investment platform and we believe the combination of both our businesses will continue to deliver great long-term value for shareholders and fund investors alike," he said in the release.
Mr. Levin also was not available for comment but noted "we are extremely pleased about about the opportunity to combine with Rithm to capitalize the growing opportunity set we see in our business," in the release.
Both firms are based in New York.