Patria Investments announces acquisition of 51% stake in Solis Investimentos, a leading Asset Back Security-focused manager in Brazil

Core Insights - Patria Investments Limited has agreed to acquire 51% of Solis Investimentos, a Brazilian investment manager specializing in CLOs, adding approximately US$ 3.5 billion in Assets Under Management (AUM) [1][2] - The acquisition will increase Patria's total Credit Fee-Earning AUM by over 40% to more than US$ 11.7 billion, solidifying its position as a leading Credit platform in Latin America [2] - The partnership aims to enhance Solis's growth by leveraging its credit origination and analysis capabilities with Patria's platform, expanding access to local and global capital [3][6] Company Overview - Solis Investimentos, founded in 2015, is a market leader in the CLO segment in Brazil, known for its strong market relationships and access to capital [3] - Solis serves a diversified investor base, including asset managers, bank treasuries, family offices, and wealth management clients, managing over 120 funds and serving more than 30,000 investors [4][7] - The funds managed by Solis have experienced a compound annual growth rate (CAGR) of approximately 45% since 2021, surpassing the market's average of 35% [7] Strategic Implications - The acquisition is expected to be accretive in the first year, enhancing Patria's origination capabilities in a rapidly growing market for non-bank, asset-backed instruments like CLOs [6][8] - The integration of Solis's expertise with Patria's sector intelligence and capital access is anticipated to strengthen both platforms and improve service to clients [6][7] - The leadership team at Solis will remain intact post-acquisition, ensuring continuity and the preservation of the company's operational DNA [5][7]