Hedge Funds

BlackRock to acquire R3


BlackRock has reached an agreement to acquire R3 Capital Management, the $1.5 billion credit fund founded by Lehman alumnus Rick Rieder. Terms of the deal were not disclosed.

Rieder was at Lehman for 21 years, most recently running the firm’s principal strategies group. He left Lehman in the spring of 2008, before its bankruptcy. As part of the deal, he will continue to manage R3 and join BlackRock as a managing director and head of the fixed-income alternative investments division.

R3 launched in May 2008 with $2.25 billion. Lehman has been a large investor and prime broker to