Kelso & Company to invest in Pathstone

Pathstone is an independently operated, partner-owned advisory firm based in New Jersey.

  • Kelso will join LMP, which invested in Pathstone in 2019
  • Kelso and LMP’s investments will likely close in the second quarter of 2023
  • Kelso is a firm specializing in private equity investing and is based in New York

Kelso & Company has announced a strategic equity investment in Pathstone, an independently operated, partner-owned advisory firm.

Pathstone offers comprehensive family office services and customized investment advice for families, family offices, and foundations and endowments. The firm is based in Englewood, New Jersey.

“Pathstone is an outstanding company with a differentiated value proposition and excellent management team,” said Steve Dutton, partner at Kelso.

Kelso will join Lovell Minnick Partners (LMP), which invested in Pathstone in 2019. LMP will maintain its investment in the firm and will add to its capital commitment, according to a release.

“We believe there is an industry tailwind favoring those who have made the necessary investments in their team, technology, and resources, and we’re eager to support Pathstone as it looks to accelerate its growth trajectory and M&A strategy,” said Brad Armstrong, partner at LMP and a Pathstone board of directors member.

Both the investments are likely to close in the second quarter of 2023, subject to customary closing conditions.

LMP, based in Radnor, Pennsylvania, invests in growth-oriented companies. The firm has raised around $4.3 billion of committed capital since its inception.

Kelso, based in New York, is a private equity investor. The firm has invested around $19 billion of equity capital in over 135 transactions.

Kirkland & Ellis and Republic Capital Group advised LMP. William Blair & Co provided financial advice, and Debevoise & Plimpton served as the legal advisor to Kelso.