RCAP Buys on Wholesale Side with VSCP Deal

NEW YORK CITY—RCS Capital Corp., which has bought a series of retail broker-dealers in recent months, is now buying on the wholesale side of alternative investment vehicles.The company said Tuesday it had reached an agreement to buyValidus Strategic Capital Partners, which owns SC Distributors LLC and Strategic Capital Advisory Services. A spokesman for RCAP confirmed published reports that the deal is for $80 million.

SCD and SCAS will operate as a standalone business under the SC brand alongside RCAP’s existing wholesale distribution brokerage. SC currently distributes Carter Validus Mission Critical REIT, RREEF Property Trust, Sierra Income Corp., TriLinc Global Impact Fund and Greenbacker Renewable Energy Co., with year-to-date sales of $775 million. SCAS provides advisory and operational services to non-exchange traded alternative investment vehicles, while SCD distributes these vehicles.