B. Riley Financial, Inc. (NASDAQ: RILY) shares jumped Friday. The Los Angeles-based diversified financial services company today announced it has sold its advisory services business, GlassRatner Advisory & Capital Group, LLC (dba B. Riley Advisory Services) and B. Riley Farber Advisory Inc., to funds managed by TorQuest Partners for $117.8 million.
BRF expects to record a gain on the sale of GlassRatner, which it acquired in August 2018, of approximately $66 million.
Bryant Riley, Chairman and Co-Chief Executive Officer of BRF commented: "BRF's primary focus moving forward is to return to its historic roots by investing in BRS, our middle-market investment bank, and its complimentary business, B. Riley Wealth Management.
“Divesting GlassRatner will provide additional capital to support growth initiatives and strengthen our capital structure. Maximizing shareholder value through ongoing reinvestment in our business remains a critical priority.
"We've worked closely with Ian Ratner and his team to build a leading boutique advisory services firm, and we are incredibly proud of what we've accomplished together. GlassRatner delivered record results in 2024, and continues to perform well across its core expertise. We're pleased to have found the ideal partner in TorQuest, which is focused on extending GlassRatner's track record."
RILY began Friday trading up 12 cents, or 4.2%, to $3.11.
