$1.5B Magnetar Spin-off to Invest in Clean Energy

Magnetar Capital executives have established a specialized investment firm focusing on energy transition and infrastructure prospects.

The spin-off, Elda River Capital Management, has launched with about $1.5 billion in assets under management and has offices in Houston, TX, Evanston, IL and London.

Elda River plans to target “attractive” risk-adjusted returns across multiple industry verticals, including renewables and power, energy and energy infrastructure, energy storage, industrial decarbonization and digital infrastructure.

The firm is led by Eric Scheyer and Adam Daley, former partners at multi-strategy hedge fund Magnetar. The pair joined the firm at its inception in 2005 and served as co-heads of Magnetar’s energy & infrastructure business, committing nearly $7 billion to over 70 private investments focused on energy and energy transition infrastructure.

As part of the agreement, all team members will join the new firm, including Elda River co-founders and partners Craig Rohr and Michael Dean as well as senior executives Michael Wilds, Steve Settles and Courtney Kozel.

“After nearly two decades at Magnetar, our team is excited to launch Elda River and we are grateful for the strong support of our investors,” said Scheyer, co-founder and co-managing partner at Elda River. “Given our team’s experience and the unprecedented amount of capital required across the global energy and energy transition sectors, we believe that now is the ideal time to launch a pure-play investment platform.”