Rithm Capital to Acquire Crestline, Creating $98B Multi-Strategy Platform
Rithm Capital Corp has agreed to acquire Crestline Management, L.P., a Fort Worth-based alternative investment manager with approximately $17 billion in AUM, in a deal that will expand Rithm’s platform to $98 billion in investable assets across balance sheet and third-party capital.
The combined operation, which also includes Sculptor, will employ more than 200 investment professionals across a broad array of strategies spanning private credit, asset-based finance, real estate, structured and corporate credit, energy, infrastructure, and insurance solutions.
Founded in 1997, Crestline has built a strong reputation in direct lending, opportunistic credit, and fund liquidity solutions, alongside strategies managed for its insurance affiliates. The firm, which has tripled AUM since 2018, will maintain its existing investment team, strategies, and global offices upon closing.
In 2025, Crestline has already closed its third NAV financing fund at $1.7 billion and its fourth direct lending fund with $3.5 billion in commitments including leverage, while rebranding its hedge fund division as SummitTX Capital.
Rithm CEO Michael Nierenberg called the deal a transformative step: “Crestline adds meaningful new credit and alternative investment capabilities, establishes our entrance into insurance and reinsurance, and creates additional value-creating opportunities for our investors and shareholders.”
The transaction, expected to close in Q4 2025 pending regulatory approvals, follows Rithm’s recent $482.6 million securitization backed by non-qualified residential mortgages and its agreement to acquire $1 billion in home improvement loans from fintech lender Upgrade.
Advisors on the deal included J.P. Morgan Securities for Rithm, with legal counsel from Skadden Arps, while Crestline was advised by Piper Sandler, with Jackson Walker LLP as lead legal counsel and specialist support from Akin, Vinson & Elkins, and Paul Hastings.
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