Patria Acquires 51% Stake in Solis, Boosting AUM to $11.7 Billion
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 02 2026
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Should l Buy PAX?
Source: Globenewswire
- Acquisition Completed: Patria Investments has finalized its acquisition of a 51% stake in Brazilian investment manager Solis Investimentos, which is expected to increase its Fee-Earning AUM (FEAUM) from $8.3 billion to $11.7 billion, thereby strengthening its leadership position in the Latin American credit market.
- Growth Potential: The integration of Solis' $3.5 billion FEAUM into Patria's portfolio is anticipated to drive Solis into a new growth cycle by leveraging high-quality credit origination, analysis, and monitoring capabilities.
- Team Stability: Solis will continue to be led by its founders, Delano Macedo and Ricardo Binelli, ensuring that over 100 professionals remain in their current roles, which maintains business continuity and expertise.
- Market Impact: This transaction not only solidifies Patria's market position in Latin America but also enhances Solis' access to both local and global capital, potentially creating greater value for future investment opportunities.
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Analyst Views on PAX
Wall Street analysts forecast PAX stock price to rise
1 Analyst Rating
0 Buy
1 Hold
0 Sell
Hold
Current: 13.910
Low
17.00
Averages
17.00
High
17.00
Current: 13.910
Low
17.00
Averages
17.00
High
17.00
About PAX
Patria Investments Limited is a Cayman Islands-based global alternative investment company. The Company’s product offering encompasses six product lines, such as private equity, infrastructure, credit, public equities, real estate, and global private markets solutions. It seeks to provide global and Latin American investors with investment products that allow for portfolio diversification and consistent returns. Patria Private Equity seeks to create consistent quartile returns. It makes private investments in public equities. Patria Infrastructure performs equity investments in a diversified portfolio of infrastructure-related assets in Brazil and selected other Latin American countries. It has investment in real assets. It offers its clients a range of different credit solutions, and in addition to capital, the Company offers management advice. Its investment portfolio consists of healthcare, education, food and beverages, diversified agribusiness, transportation, energy, and others.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Investigation Launched: Pomerantz LLP is investigating claims on behalf of investors in Patria Investments Limited (NASDAQ:PAX) regarding potential securities fraud or other unlawful business practices, inviting investors to contact Danielle Peyton to join the class action.
- Short Report Allegations: On January 26, 2026, Snowcap Research published a short report alleging that Patria may be overstating performance and masking losses in its flagship private equity and infrastructure funds, which has led to a decline in market confidence.
- Stock Price Decline: Following the release of this report, Patria's stock price fell by $0.78, or 4.55%, closing at $16.37 per share, indicating investor concerns about the company's financial health.
- Legal Context: Pomerantz LLP is a prominent law firm specializing in securities class action litigation, with over 85 years of experience advocating for the rights of victims of securities fraud and corporate misconduct, having recovered numerous multimillion-dollar damages for class members.
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- Market Opportunity Analysis: Patria's new Latin America private credit strategy aims to provide global institutional investors access to a structurally under-levered corporate credit market, expected to attract demand for high yields, particularly in the current capital-scarce environment.
- Capital Deployment Status: As of December 31, 2025, Patria's first dedicated private credit fund has successfully deployed over 70% of its capital across 14 transactions, generating a 15.6% gross unlevered IRR, demonstrating the effectiveness of its investment strategy.
- Structural Advantages: The corporate leverage in the Latin American high-yield market stands at approximately 2.8x, significantly lower than the 5.5x in the U.S., with an interest coverage ratio of 25.4x, indicating robust corporate fundamentals that can sustain higher yields amid persistent risk premiums.
- Acquisition to Expand Capabilities: Patria's acquisition of a 51% stake in Brazil's Solis Investimentos adds approximately $3.5 billion in fee-earning AUM, further enhancing its capabilities in asset-backed and structured credit, ensuring strict underwriting discipline in credit distribution.
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- Earnings Announcement: Patria Investments (PAX) is set to release its Q4 2025 earnings on February 10 before market open, with consensus EPS estimated at $0.31 and revenue at $91.74 million, indicating investor anticipation for performance insights.
- Historical Performance Review: Over the past two years, PAX has beaten EPS estimates 63% of the time, while only 13% for revenue, suggesting significant volatility in profitability that could affect investor confidence moving forward.
- Expectation Revision Dynamics: In the last three months, EPS estimates have seen one upward and one downward revision, while revenue estimates experienced no upward revisions and one downward, reflecting analyst divergence on the company's future performance, which may impact stock price volatility.
- Company Developments: Recently, Patria Investments announced the acquisition of WP Global Partners and appointed Nikitas Psyllakis as the new COO, strategic moves that could positively influence the company's long-term growth potential.
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- Investigation Launched: Pomerantz LLP is investigating claims on behalf of investors in Patria Investments Limited (NASDAQ:PAX) regarding potential securities fraud or other unlawful business practices, highlighting serious concerns about corporate governance.
- Performance Allegations: On January 26, 2026, Snowcap Research published a report alleging that Patria may be overstating performance and masking losses within its flagship private equity and infrastructure funds, raising further concerns about its financial transparency.
- Stock Price Decline: Following the report, Patria's stock price fell by $0.78, or 4.55%, closing at $16.37 per share, indicating a decline in investor confidence regarding the company's future performance.
- Legal Context: Pomerantz LLP, a prominent securities class action law firm with over 85 years of experience, focuses on fighting for the rights of victims of securities fraud and corporate misconduct, demonstrating a strong commitment to protecting investor interests.
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- Record Fundraising: Patria Investments achieved a record $7.7 billion in organic fundraising for 2025, exceeding its revised target of $6.6 billion by over $1 billion, indicating strong market appeal and investor confidence.
- Fee-Related Earnings Growth: The company reported fee-related earnings of $203 million in 2025, up 19% year-over-year, not only meeting its annual target of $200 million but also reflecting effective cost management and enhanced profitability.
- AUM Expansion: As of Q4 2025, Patria's fee-earning AUM rose 24% to $41 billion, with pro forma acquisitions expected to increase this to approximately $47.4 billion, significantly strengthening its competitive position in private credit and real estate markets.
- Dividend and Buyback Plans: The company announced a dividend of $0.15 per share for Q4 2025, set to increase to $0.65 per share in 2026, alongside an approved buyback of an additional 3 million shares, demonstrating confidence in future cash flows and commitment to shareholder returns.
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- Earnings Beat: Patria Investments reported a Q4 non-GAAP EPS of $0.50, exceeding expectations by $0.05, indicating the company's resilience and profitability in the current economic landscape.
- Revenue Miss: While total fee revenue reached $101 million, an 8.4% year-over-year increase, it fell short of the expected $112 million, reflecting intensified market competition and fluctuations in client demand impacting revenue.
- Executive Appointment: The appointment of Nikitas Psyllakis as the new COO aims to enhance operational efficiency and market responsiveness, further driving the achievement of the company's strategic objectives.
- Acquisition Strategy: The announcement of acquiring WP Global Partners is expected to strengthen Patria's investment portfolio in emerging markets, enhancing its competitive position and laying the groundwork for future growth.
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