Stellus Capital Management to Become Part of Alternative Asset Manager P10

Rhea-AI Summary

Stellus Capital Management agreed to be acquired by alternative asset manager P10 (NYSE: PX). Stellus, a U.S. direct lender with $3.8 billion AUM, will remain managed by its current partners and keep existing investment processes. P10 operates a multi-strategy platform with more than $40 billion AUM.

The transaction is expected to close in mid-2026, subject to BDC shareholder approvals and customary closing conditions. Financial and legal advisors for the deal were named by both parties.

Positive

• Stellus retains day-to-day control under current partners
• Stellus AUM of $3.8 billion adds direct lending scale
• P10 platform scale with more than $40 billion AUM
• Preservation of Stellus' existing investment processes and strategy

Negative

• Transaction closing subject to BDC shareholder approvals
• Deal completion contingent on customary closing conditions

News Market Reaction – PX

-6.10%

1 alert

-6.10% News Effect

On the day this news was published, PX declined 6.10%, reflecting a notable negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Stellus AUM: $3.8 billion P10 AUM: more than $40 billion

2 metrics

Stellus AUM $3.8 billion Stellus Capital Management assets under management at announcement

P10 AUM more than $40 billion P10 total assets under management across its platform

Market Reality Check

Price: $10.54 Vol: Volume 839,845 is elevate...

high vol

$10.54 Last Close

Volume Volume 839,845 is elevated versus 20-day average of 548,558, suggesting stronger pre-news interest. high

Technical Price at 10.50 trades slightly below 200-day MA of 10.89, indicating a modestly weaker longer-term trend.

Peers on Argus

PX is up 1.45% while peers show mixed moves (e.g., GSBD +1.74%, VRTS -0.94%). Wi...

PX is up 1.45% while peers show mixed moves (e.g., GSBD +1.74%, VRTS -0.94%). With no peers in momentum scanners, the move appears company-specific rather than sector-driven.

Historical Context

5 past events · Latest: Jan 30 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 30	Industry award	Positive	-1.1%	Bonaccord named 2025 Middle Market GP Stakes Firm of the Year.
Jan 29	Distribution partnership	Positive	+2.8%	Collaboration with CAIS to expand wealth-channel access to GP stakes.
Jan 22	Earnings scheduling	Neutral	-0.3%	Announced timing for Q4 and full-year 2025 earnings release.
Jan 13	Tax credit allocation	Positive	-1.4%	Enhanced Community Development received $65M New Markets Tax Credit award.
Jan 12	Corporate rebrand	Neutral	-0.4%	Announced name change to Ridgepost Capital and new ticker RPC.

Pattern Detected

Recent news has been generally positive or strategic, but price reactions have been mixed, with some positive items followed by modest declines and others by gains, suggesting no consistent pattern of reaction to corporate developments.

Recent Company History

Over the past months, PX has highlighted its middle‑market private markets strategy through awards for Bonaccord, new distribution via CAIS, a scheduled Q4/FY25 earnings release on February 12, 2026, and a forthcoming rebrand to Ridgepost Capital. It also reported sizable NMTC allocations at Enhanced Community Development. Today’s announcement that PX will acquire Stellus Capital Management adds another platform expansion, consistent with its multi‑strategy growth focus seen in prior updates.

Market Pulse Summary

The stock moved -6.1% in the session following this news. A negative reaction despite the Stellus ac...

Analysis

The stock moved -6.1% in the session following this news. A negative reaction despite the Stellus acquisition would echo prior instances where constructive news coincided with modest declines. The deal adds a $3.8 billion AUM direct lending platform to P10’s more than $40 billion AUM franchise, but investors could focus on integration risks or transaction structure. Past news flow has not always produced consistent upside, so a pullback would fit a pattern of uneven responses to strategic announcements.

Key Terms

senior secured loans, direct lender, bdc

3 terms

senior secured loans financial

"specializing in senior secured loans in the lower-middle market"

Senior secured loans are debt agreements where lenders have first claim on specific assets as collateral and are paid back before other creditors if a borrower defaults. For investors, that priority and collateral generally make these loans less risky than unsecured or junior debt while still offering higher income than cash, like holding a first mortgage on a property rather than an unsecured IOU, and they often carry floating interest that helps protect against rising rates.

direct lender financial

"Stellus Capital Management ("Stellus" or the "Company), a U.S. direct lender"

A direct lender is a firm that makes loans straight to borrowers without going through banks, brokers, or loan marketplaces. For investors, direct lenders matter because they take the first-line exposure to interest income, repayment risk and loan terms—similar to renting a house directly to a tenant rather than through an agent—so loan performance, defaults and changes in lending rules directly affect returns and valuation.

bdc regulatory

"expected to close in mid-2026, subject to BDC shareholder approvals"

A business development company (BDC) is a publicly traded investment firm that lends to and takes ownership stakes in small- and mid-sized private companies that often can’t get traditional bank loans. Like a neighborhood lending pool or venture backer you can buy shares in, a BDC can offer higher dividend income but also carries greater credit and economic risk, so investors focus on the quality of its loans, portfolio companies and payout sustainability.

AI-generated analysis. Not financial advice.

Transaction to provide complementary resources, expertise, and relationships to enhance Stellus' existing platform

Stellus investment processes, strategy, and operations to remain unchanged

HOUSTON, Feb. 5, 2026 /PRNewswire/ -- Stellus Capital Management ("Stellus" or the "Company), a U.S. direct lender with $3.8 billion of AUM specializing in senior secured loans in the lower-middle market, announced that it has entered into a definitive agreement to be acquired by P10, Inc. (NYSE: PX) ("P10"), a leading private markets solutions provider that similarly serves the lower-middle market. Stellus will continue to be managed by its current partners who will retain control of its day-to-day operations, including investment decisions and investment committee processes.

P10, which has more than $40 billion in assets under management, operates a multi-strategy platform focused on the middle and lower-middle market. Stellus views P10 as the optimal strategic partner based on its operating model and complementary expertise and relationships. P10's sponsor network is expected to broaden access to direct lending opportunities for the Stellus' clients, while preserving the firm's core investing philosophy and approach.

Robert Ladd, Managing Partner of Stellus, noted, "Luke Sarsfield and the P10 team have established a highly scaled and diversified private markets platform with a clear focus on the middle and lower-middle market, and we see strong alignment in our respective approaches. This transaction will enhance our ability to develop additional strategies and investment vehicles that meet the evolving needs of global investors seeking access to opportunities in our markets and those of sponsors and borrowers seeking a reliable, thoughtful lending partner. We look forward to working closely with the P10 team to support disciplined growth and long-term value creation for our clients."

"This acquisition is a continuation of P10's long-term strategy to partner with leading specialized investment managers operating in the middle and lower-middle market and adds a best-in-class direct lending franchise to our platform," said Luke Sarsfield, P10 Chairman and Chief Executive Officer. "Rob and his team have built a firm with a strong history of growth, proven track record of vehicle launches and robust credit and investment performance across economic cycles. Further, Stellus' sponsor borrower base is a natural fit within P10's middle and lower-middle market GP sponsor ecosystem, creating the potential for new opportunities across the firm. With our shared philosophy of investment excellence, client outcomes, and long-term value creation, we look forward to Stellus joining our leading alternatives platform."

The transaction is expected to close in mid-2026, subject to BDC shareholder approvals and other customary closing conditions.

Goldman, Sachs & Co. is acting as exclusive financial advisor and Eversheds Sutherland (US) LLP and Winston & Strawn LLP are serving as legal advisors to Stellus.

Kirkland & Ellis LLP and Troutman Pepper Locke are serving as legal advisors to P10.

About Stellus Capital Management 
Stellus Capital Management is a leading direct lender specializing in senior secured loans in the lower-middle market. With a track record spanning over 20 years, the Stellus team has invested over $10.3 billion in 375+ portfolio companies and has approximately $3.8 billion in assets under management, including $2.6 billion in fee-paying assets under management. Stellus is headquartered in Houston, TX with offices in Charlotte, NC and the Washington, D.C. area. Visit www.stelluscapital.com.

About P10
P10 (NYSE: PX) is a leading private markets solutions provider with over $40 billion in assets under management as of September 30, 2025. P10 invests across Private Equity, Private Credit, and Venture Capital in access-constrained strategies, with a focus on the middle and lower-middle market. P10's products have a global investor base and aim to deliver compelling risk-adjusted returns. For additional information, please visit www.p10alts.com.

Stellus Investor Contact:
Todd Huskinson
thuskinson@stelluscapital.com

Stellus Media Contact:
Pro-Stellus@prosek.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/stellus-capital-management-to-become-part-of-alternative-asset-manager-p10-302680168.html

SOURCE Stellus Capital Management

FAQ

What did Stellus announce about being acquired by P10 (PX) on February 5, 2026?

Stellus announced it entered a definitive agreement to be acquired by P10 (PX). According to the company, Stellus will remain managed by current partners, keep its investment processes, and join P10's multi-strategy private markets platform.

How large are Stellus and P10 in assets under management after the announcement?

Stellus reported $3.8 billion in assets under management and P10 has more than $40 billion AUM. According to the company, the combination adds direct lending scale to P10's existing multi-strategy platform.

When is the Stellus acquisition by P10 (PX) expected to close and what approvals are required?

The transaction is expected to close in mid-2026, subject to BDC shareholder approvals and customary closing conditions. According to the company, closing timing depends on completing those approvals and conditions.

Will Stellus change its investment decision process after joining P10 (PX)?

No, Stellus' investment processes, strategy, and operations will remain unchanged under the deal. According to the company, current partners retain control of day-to-day operations and investment committee decisions.

What strategic benefits did Stellus and P10 cite for the acquisition (PX)?

Both firms cited complementary resources, expertise, and sponsor networks that broaden access to direct lending opportunities. According to the company, the partnership aims to support disciplined growth and long-term value creation for clients.