Gordon Brothers Group has formed GB Investment Management Group, an umbrella group to manage all of the firm’s funds and legacy investments.
Gordon Brothers Group, a global advisory, restructuring and investment firm specializing in the retail, consumer products, real estate and industrial sectors, today announced the formation of GB Investment Management Group (“GBIMG”), a wholly owned subsidiary of Gordon Brothers Group. GB Investment Management Group is responsible for managing all of Gordon Brothers’ funds and legacy investments, including GB Merchant Partners, the 1903 Equity Fund LP, the 1903 Debt Fund LP and the 1903 Offshore Debt Fund Ltd. GBIMG currently has over $500 million under management, is expanding its existing funds, and will be pursuing other industry and sector-focused funds.
Mark J. Schwartz will become President and CEO of GB Investment Management Group. Michael G. Frieze will become President and CEO of Gordon Brothers Group.
“Forming an umbrella group to manage all of our investments and lending activities is the next logical step in our evolution,” said Michael Frieze, President & CEO of Gordon Brothers Group. “Under Mark’s leadership, we expanded our debt and equity activities in 2002, established debt and equity funds with institutional investors in 2006 and are now building on the firm’s success managing alternative investments.”
“I look forward to focusing my attention on our growing investment portfolio,” said Mark Schwartz, President & CEO of GB Investment Management Group. “The current economic environment is creating tremendous investment opportunities and I plan to leverage the strategic and financial resources within the firm to capitalize on them.”
About Gordon Brothers Group
Founded in 1903, Gordon Brothers Group is a global advisory, restructuring and investment firm specializing in the retail, consumer products, real estate and industrial sectors. The firm has unparalleled expertise in assisting healthy and distressed companies maximize the value of under-performing assets and expand operations through new products and distribution channels. Gordon Brothers Group’s capabilities include asset valuations, dispositions and appraisals, real estate consulting and acquisitions, retail store operations, lending, equity investments, restructuring and advisory services. The firm’s resources include over 250 professionals and 300 field experts, including former CEOs, CFOs, merchants and executives in offices worldwide. During the past three years, Gordon Brothers Group has appraised over $100 billion of assets, managed more than 7,000 stores, sold more than $10 billion of inventory and restructured or sold over 120 million square feet of retail space.
About GB Investment Management Group
GB Investment Management Group and its affiliate, GB Merchant Partners, LLC, have over $500 million of institutional capital under management. The Group currently focuses on private equity, structured loans and secondary debt investments. Private equity investments are made through the 1903 Equity Fund, which takes majority and minority equity positions in middle-market retail and consumer products companies. The Group prefers to partner with management teams to complete a buyout, fund growth or facilitate a restructuring. Current portfolio companies include Como Fred David, Clair de Lune, Deb Shops, Grafton Fraser, Things Remembered, Toys R Us, Dollarama, Laura Secord and Amscan. Loans and secondary debt investments are made through the 1903 Debt Fund LP and the 1903 Offshore Debt Fund Ltd. Debt financings are typically structured as junior secured “Tranche B” or enterprise value loans that range from $10 to $50 million, and are made to companies in the distribution, wholesales, industrial, consumer products and real estate sectors.