Spouting Rock Asset Management, a boutique manager platform providing investment solutions and services, agreed to merge with Old Hill Partners, an alternative asset manager focused on asset-based lending transactions with small and medium-sized businesses.
A newly formed subsidiary of Spouting Rock Asset Management, Spouting Rock Alternative Credit, will house the Old Hill asset-based lending business and serve as the investment advisor to Old Hill’s existing funds and other investment vehicles. The new subsidiary will be operated by former Old Hill employees Jeff Haas and Peter Faigl as president and chief investment officer, respectively.
Spouting Rock Alternative Credit will seek to identify opportunities for risk-adjusted returns in private debt well in excess of those available to traditional credit investors. Currently, Old Hill’s asset-based lending transactions target borrowers seeking $10 million to $50 million in financing and typically carry floating rate coupons and interest rate floors to protect against rising rates.
“Old Hill has created a unique opportunity for investors striving to generate income in private debt transactions,” Andrew Smith, chief executive of Spouting Rock Asset Management, said. “The senior portfolio management team brings over 20 years of experience sourcing and constructing transactions. We look forward to leveraging their expertise to expand upon the credit offerings available on the Spouting Rock platform.”
“Spouting Rock’s shared services model will allow us to expand our business further in 2022 and beyond,” Haas said. “We’re excited to join the growing Spouting Rock family and to continue to create attractive outcomes for investors and borrowers alike.”
