BRC Group Holdings Announces Merger of BRS and BRW
BRC Group Holdings announced a series of strategic actions designed to consolidate its financial services platform, and posture the company for renewed growth while reinforcing its position as a leading, end-to-end capital markets and advisory partner serving the small-cap and middle market. The Company intends to repurchase the outstanding shares of B. Riley Securities, or BRS, and seeks to combine BRS with B. Riley Wealth, or BRW, bringing together the Company's institutional and retail distribution under a single investment banking and wealth management platform. In connection with these actions, BRCGH also announced leadership changes at BRS. The Company intends to effect a merger of BRS and BRW by year end, subject to regulatory approval, including approval by FINRA under Rule 1017. The combination is expected to streamline operations across both regulated entities, accelerate combined platform growth, and provide BRW clients with access to appropriate proprietary investment opportunities. To steward this next chapter of integrated growth and shareholder creation, the Company has realigned its senior leadership team. Effective immediately, Bryant Riley, has been appointed Executive Chairman of BRS, Andy Moore returns as CEO of BRS, and Joseph Nardini, Head of Investment Banking, has been promoted to President of BRS. Bryant and Andy will join, and Joseph will continue to serve, as members of BRS's Executive Committee. Michael Mullen, CEO of BRW, will also join BRS's Executive Committee upon completion of all applicable FINRA registration and regulatory requirements. Concurrent with these leadership changes, Jimmy Baker has stepped down from his role as Chief Executive Officer of BRS and resigned from the B. Riley Securities Holdings Board of Directors. Riley added: "Jimmy has been a pivotal leader of BRS since joining us in 2010.
