Welcome to our dedicated page for B. Riley Financial news (Ticker: RILY), a resource for investors and traders seeking the latest updates and insights on B. Riley Financial stock.
Overview
B. Riley Financial, Inc. (symbol: RILY) is a diversified financial services firm offering a wide range of solutions including investment banking, capital advisory, and financial consulting services. The firm operates through several wholly-owned subsidiaries and affiliated entities to deliver comprehensive support in areas such as wealth management, corporate restructuring, risk and compliance, forensic accounting, litigation support, as well as asset disposition and valuation. With its robust, cross-platform expertise, B. Riley Financial provides tailored, full-service solutions to public and private companies, institutional clients, and high-net-worth individuals across the United States, Canada, and Europe.
Core Business and Services
B. Riley Financial leverages its integrated platform to serve clients at every stage of the business life cycle. The company’s operations are segmented into key areas that include:
- Capital Markets: Involves investment banking, underwriting, and strategic advisory services that support capital raising and restructuring efforts.
- Wealth Management: Offers tailored investment management solutions and financial planning services designed for institutional investors and high-net-worth individuals.
- Financial Consulting: Provides forensic accounting, litigation support, risk management, and valuation and appraisal services.
- Auction and Liquidation: Manages asset dispositions, including auction and liquidation services with comprehensive valuation analyses.
- Communications and Consumer Products: Extends into areas such as internet access and subscription-based services, complementing its core offerings.
Business Model and Market Position
The company’s robust business model is built on leveraging the diverse expertise of its subsidiaries to offer end-to-end financial solutions. B. Riley Financial generates revenue through a mix of advisory fees, transactional services, underwriting activities, and proprietary investments. Operating across multiple segments, the firm not only meets traditional capital raising needs but also provides specialized advisory in distressed asset situations, complex restructurings, and forensic investigations. This diversified approach enables the company to deliver uncorrelated free cash flow and maintain a resilient balance sheet, even amid market fluctuations.
Expertise and Industry Approach
B. Riley Financial is known for its collaborative, client-focused approach that benefits from decades of industry-specific experience and technical proficiency. The firm’s strategic differentiation comes from its ability to integrate services across investment banking, wealth management, and advisory platforms, ensuring that clients receive comprehensive financial solutions. The emphasis on due diligence, risk and compliance, and forensic accounting underlines the company’s commitment to robust analytical practices and transparency, which are critical in complex financial transactions.
Subsidiaries and Operational Structure
The company operates through a portfolio of subsidiaries that specialize in different areas of the financial services landscape. This structure includes teams focused on capital management, independent broker-dealer operations, and niche advisory services that address asset monetization, restructuring, and valuation. Such a configuration allows for a tailored, flexible approach to meet the varied strategic, operational, and financial needs of its clients. Through its subsidiary B. Riley Securities, for instance, the company has cemented its reputation in the middle market, offering specialized services in equity research and capital structure advisory.
Competitive Landscape and Value Proposition
In a competitive financial services market, B. Riley Financial distinguishes itself by blending traditional investment banking with innovative advisory solutions. The firm’s integrated service model is backed by extensive experience, which enables it to manage both routine and complex financial situations. This capability is particularly beneficial to middle-market companies seeking diversified support without the need for multiple service providers. By maintaining a focus on core financial operations while opportunistically investing in non-traditional assets, B. Riley Financial offers a nuanced, resilient platform that adapts to evolving market dynamics.
Client Focus and Service Excellence
The firm serves a broad spectrum of clients—from rapidly growing middle-market companies and established corporations to high-net-worth individuals seeking capital management and estate planning solutions. Its long history in the industry is a testament to its discipline in managing client relationships, mitigating risk, and executing complex transactions in environments that demand both agility and precision. With a transparent and unbiased approach, B. Riley Financial reinforces investor confidence and demonstrates its commitment to high standards of corporate governance and fiduciary responsibility.
Conclusion
B. Riley Financial, Inc. remains a significant player in the financial services sector by consistently providing integrated, cross-platform financial solutions tailored to diverse client needs. Its methodical approach to capital markets, wealth management, and comprehensive advisory services makes it a reliable partner for entities seeking both stability and extensive industry know-how. The company’s endurance in addressing capital, operational, and strategic challenges underscores its enduring value proposition in an increasingly complex financial environment.
B. Riley Wealth Management has appointed Edward J. Grimpe as the new Regional Manager for the Southeast Region, focusing on expanding in South Florida and surrounding areas. Grimpe brings over 25 years of experience, having previously held key positions at Merrill Lynch and BB&T Scott & Stringfellow. His expertise in managing and recruiting will support B. Riley's growth strategy. Grimpe emphasizes B. Riley's collaborative culture and sophisticated services as pivotal for financial advisors seeking to better serve their clients.
B. Riley Financial (NASDAQ: RILY) announced a rebranding of its subsidiary companies to enhance consistency and client engagement. This reflects growth since its establishment in 1997 and follows a series of acquisitions since 2015, including FBR & Co. and GlassRatner. The rebranding aims to amplify the visibility of B. Riley’s diverse services, which range from financial consulting to investment banking. Co-CEOs Bryant Riley and Tom Kelleher emphasized that this initiative will improve service levels and operational efficiency for stakeholders.
B. Riley Financial, Inc. (NASDAQ:RILY) announced the commencement of store closing sales at 17 additional Sur La Table locations across the U.S. as part of a restructuring strategy initiated on August 28. This decision follows the identification of 56 stores slated for closure during the company's bankruptcy proceedings. Customers can expect discounts of up to 30% on merchandise. The liquidation sales are anticipated to last approximately five weeks or until stock is depleted, with final purchases being non-returnable. Sur La Table continues operations at over 55 locations under new ownership.
B. Riley Financial (NASDAQ: RILY) announced the pricing of its underwritten public offering of 1,300,000 depositary shares at $25.00 each, raising gross proceeds of $32.5 million. Each share represents a 1/1000th fractional interest in the Company's 7.375% Series B Cumulative Perpetual Preferred Stock, with dividends paid when declared at 7.375%. The offering is set to close around September 4, 2020, with an additional 195,000 shares available to underwriters for overallotments. Proceeds will support general corporate purposes, including acquisitions and debt repayment.
B. Riley Financial announced an underwritten public offering of depositary shares, each representing a 1/1000th fractional interest in its Series B Cumulative Perpetual Preferred Stock, with a liquidation preference of $25.00 per share. The offering will be subject to market conditions, and the company plans to use the net proceeds for general corporate purposes including acquisitions, debt repayment, and working capital. The offering is facilitated by B. Riley FBR, Incapital, and others, under an SEC shelf registration statement.
On August 12, 2020, Stein Mart filed for Chapter 11 reorganization, initiating going out of business sales across all 279 locations in the U.S. This process, overseen by a joint venture including B. Riley Financial, offers discounts of up to 30% off the lowest ticketed prices storewide. Customers can find a wide selection of discounted brand name fashions, home décor, and essentials. Additionally, gift cards and loyalty rewards will be accepted for a limited time while store fixtures will also be sold at reduced prices.
B. Riley Financial (RILY) reported strong second quarter 2020 results with consolidated revenues of $266.5 million, up from $164.7 million in Q2 2019. The net income reached $82.8 million, or $3.07 per diluted share. Investment gains surged to $114.5 million, reflecting market recovery from COVID-19 impacts. Operating revenues were $151.9 million, down slightly from the prior year, but adjusted EBITDA increased significantly to $148.3 million. A regular dividend increase to $0.30 per share, plus a special $0.05 dividend, was announced.
On July 28, 2020, B. Riley Financial's affiliate, Great American Group, announced the initiation of store closing sales at approximately 380 New York & Company locations following the bankruptcy of its parent company, RTW Retailwinds. Customers can access discounts of up to 60% on in-store merchandise. The liquidation sales are expected to last 8-10 weeks, allowing for the sale of all remaining products including store fixtures. B. Riley Financial specializes in diverse financial services, providing solutions in investment banking, corporate advisory, and liquidation services.
B. Riley Financial (NASDAQ:RILY) announced its upcoming conference call to discuss Q2 2020 financial results, scheduled for July 30, 2020, at 4:30 p.m. ET. The call will feature key executives, including Bryant Riley, Tom Kelleher, and Phillip Ahn. A press release detailing the financial results will be issued before the call. Interested parties can access the live broadcast and archived recording on the company's investor relations website.
B. Riley Financial (NASDAQ: RILY) announced a share repurchase agreement for 900,000 shares at $22.00 per share, totaling $19.8 million. This purchase represents approximately 3.5% of the company's outstanding shares as of July 1, 2020. B. Riley's management expresses confidence in the company's performance, indicating this repurchase supports shareholder interests. The transaction will occur in two block purchases of 450,000 shares each, aligning with the existing share repurchase program.
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