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R&T Deposit Solutions Announces Strategic Investment from GTCR and Appointment of Susan Cosgrove as Executive Chairperson

September 7, 2023

With the support of GTCR and Estancia Capital Partners, R&T will continue to deliver innovative solutions to banks, broker-dealers, wealth management firms and other financial institutions

R&T Deposit Solutions (“R&T” or the “Company”), a leading provider of tech-enabled liquidity management, deposit funding, and securities-based lending programs, announced today that it has received a significant investment from GTCR, a leading private equity firm. Following the investment, GTCR owns 50% of R&T with the remaining 50% retained by existing shareholders, which include Estancia Capital Partners (“Estancia”) and R&T’s founding team and employees. In conjunction with the investment, Susan Cosgrove will join R&T as Executive Chairperson. Susan will work closely with CEO Joe Jerkovich and other members of management.

The appointment of Ms. Cosgrove as Executive Chairperson and the investment by GTCR are intended to further support and sustain the Company’s high rate of growth in its depository network offering while broadening the Company’s product offerings and augmenting technology infrastructure. In particular, the investment will focus on strengthening R&T’s position as a leading, innovative provider of deposit management solutions supported by a client-oriented delivery model and strong leadership and technical capabilities in deposit, liquidity and cash management. As part of the transaction, R&T shareholders are making substantial investments in R&T’s technology, infrastructure, and personnel.

Ms. Cosgrove will join R&T effective October 1, 2023 as its Executive Chairperson, working full-time with other members of management to deepen the Company’s client relationships, broaden product offerings and expand technology infrastructure. Ms. Cosgrove is an exceptionally well-respected leader in financial and securities technology, with over 30 years of experience in clearing, liquidity management and collateral optimization, including more than 20 years at The Depository Trust & Clearing Corporation (DTCC). She most recently served as President, Clearing & Securities Services at DTCC, leading all DTCC clearing and securities services businesses, including Equity Clearing and Settlement, Fixed Income Clearing, Wealth Management Services & Asset Services and Institutional Trade Processing. Previously, Ms. Cosgrove served as the Chief Financial Officer for DTCC, leading the Global Finance, Treasury, Procurement, Real Estate and New Initiative functions. Prior to her CFO role, she held several executive-level positions at DTCC, including General Manager of Settlement and Asset Services and General Manager of DTCC’s Equity and Fixed Income Clearing Services. Ms. Cosgrove also served as a member of DTCC’s Management Committee, Management Risk Committee, Investment Management Committee and as Chair of the Institutional Trade Processing Board of Managers.

Ms. Cosgrove commented: “I am honored to have the opportunity to join Joe Jerkovich and the rest of R&T’s management team to build further on the Company’s success. The Company is already known for its exceptional depth and relevance with the industry’s leading banks, broker-dealers, wealth management firms and other financial institutions. This investment provides an opportunity to further enhance R&T’s technology platform and mission-critical operational capabilities, while delivering additional value to customers through product innovation.”

Collin Roche, Co-CEO and Managing Director at GTCR, stated: “We are thrilled to partner with Susan Cosgrove, Joe Jerkovich and the broader R&T management team to sustain the growth at R&T and further increase the value delivered to customers. The Company’s leadership has demonstrated an exceptional commitment to growth by prioritizing a client-first focus. We share these values of customer-alignment and innovation, which are critical in serving sophisticated financial institutions with complex needs.” Mr. Roche continued: “We also are very enthusiastic to partner with our friends at Estancia Capital Partners to jointly support management in this next phase of the Company’s journey. GTCR and Estancia share a long-term orientation and are highly aligned in our focus on further investing in growth at R&T.”

“Since our initial investment in 2021 we have worked closely with the R&T management team to accelerate the Company’s growth. GTCR’s investment is a testament to the hard work of the R&T team and the value proposition they deliver to customers,” stated Takashi Moriuchi, Co-Founder and Managing Director at Estancia. “Together with GTCR and Susan Cosgrove, our enthusiasm for the Company’s prospects has never been greater.”

Mike Hollander, Managing Director at GTCR, continued: “As a result of this new investment, R&T will expand on its leading range of client-focused solutions for cash management, liquidity, and securities-based lending. We believe that R&T is well-positioned to accelerate its already strong growth trajectory and we have tremendous conviction in the caliber and capabilities of R&T’s leadership team. Along with our new partners at Estancia, we look forward to supporting Susan, Joe, and the broader R&T management team as they lead the Company into its next phase of growth.”

“This investment represents a significant milestone in the growth and evolution of our company,” said Mr. Jerkovich. “Through this new investment, the appointment of Susan and our partnership with GTCR and Estancia, our business will be even better positioned to execute on our strategy and provide clients with innovative solutions and industry-leading technology. I look forward to working closely with Susan, GTCR, and Estancia on this next phase of our journey.”

Keefe, Bruyette & Woods, a Stifel Company, served as financial advisor to R&T relative to the transaction and Dechert LLP served as the Company’s and Estancia’s legal counsel. Piper Sandler & Co. and J.P. Morgan Securities LLC served as financial advisors to GTCR and Simpson Thacher & Bartlett LLP served as GTCR’s legal counsel.

About R&T Deposit Solutions

Founded in 1974, R&T Deposit Solutions provides deposit and liquidity solutions to financial intermediaries around the country. R&T offers a wide range of innovative tech-enabled services to help banks, credit unions, broker-dealers, trust companies and wealth managers meet their unique cash sweep, deposit funding, and securities-based lending needs. Through the Demand Deposit Marketplace® (DDM®) program, R&T provides banks and other depository institutions with access to millions of dollars in reciprocal deposits, and underlying customers with access to expanded levels of FDIC insurance on their deposits through other participating banks. R&T also is the trusted vendor of large broker-dealers and other financial institutions that administer their insured cash sweep programs.

About GTCR 

Founded in 1980, GTCR is a leading private equity firm that pioneered The Leaders Strategy™ – finding and partnering with management leaders in core domains to identify, acquire and build market-leading companies through organic growth and strategic acquisitions. GTCR is focused on investing in transformative growth in companies in the Business & Consumer Services, Financial Services & Technology, Healthcare and Technology, Media & Telecommunications sectors. Since its inception, GTCR has invested more than $25 billion in over 270 companies, and the firm currently manages more than $35 billion in equity capital. GTCR is based in Chicago with offices in New York and West Palm Beach. For more information, please visit www.gtcr.com. Follow us on LinkedIn.

About Estancia Capital Partners

Estancia is a specialist private equity firm focused on lower-middle market investments in Institutional Quality Asset Management, Wealth Management, Capital Markets Structure and related Business Services and Technology firms. Estancia’s Principals have a history of partnering with management teams, providing capital to facilitate strategic development of portfolio companies including management buy-outs, private ownership/succession transitions and growth initiatives. R&T represents Estancia’s fifth portfolio investment in their sophomore fund Estancia Capital Partners, Fund II, L.P. For more information, please visit www.estanciapartners.com.

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R&T Deposit Networks, LLC, R&T Deposit Marketplace, LLC, R&T Deposit Solutions, LLC and R&T Deposit Programs, LLC (each d/b/a R&T Deposit Solutions), each a Delaware limited liability company, (together, “R&T”) provide administrative, recordkeeping, and/or other services to banks, credit unions, trust companies, wealth management firms, broker-dealers and other institutions with respect to deposit placement and sweep programs, including the Demand Deposit Marketplace® (DDM®), Certificate of Deposit Marketplace Exchange℠ (CDMX℠) and R&T Insured Deposits℠ (RTID®) programs, as well as other services. An affiliate of R&T, Stable Custody Group II LLC (“Stable”), acts as agent of participating sending institutions under the DDM and CDMX programs.  R&T and Stable, together, “we”, “us” or “our”.  All of our services are provided subject to the terms and conditions of the written agreements and/or agency appointments between us and our clients with respect to those services, and we provide no representations or warranties, express or implied, except as expressly set forth in those written agreements and/or appointments. Click here for our legal and other disclosures. We are not an FDIC or NCUA-insured institution. FDIC insurance only covers the failure of an FDIC-insured institution. NCUA insurance only covers the failure of an NCUA-insured institution.  Certain conditions must be satisfied for FDIC and NCUA pass-through deposit insurance coverage to apply. Click here for a list of the FDIC and NCUA-insured institutions with which R&T has a direct or indirect business relationship for the placement of deposits under the DDM, CDMX, and RTID programs, and into which a participating institution may place deposits (subject to the terms of those programs and any opt-outs by the participating institution and/or its customers).  While the DDM, CDMX, and RTID programs provide access to an expanded level of FDIC or NCUA deposit insurance coverage on funds placed into the programs (subject to program terms and applicable laws, regulations and guidance, including pass-through insurance coverage requirements), the DDM, CDMX and RTID programs, themselves, as well as our other service offerings, are not insured or guaranteed by the FDIC or NCUA, are not deposits, and may lose value. We are not an affiliate of an FDIC or NCUA-insured institution, we are not an office, division, or sub-division of the FDIC or NCUA, and we are not associated with the FDIC or NCUA or office, division, or sub-division thereof. For more information about us, please visit our website at http://www.rt-deposit-solutions.local. The primary objective of the DDM, CDMX, and RTID programs is to provide customers with convenient access to expanded deposit insurance coverage on their funds (and not for investment enhancements, higher rates of returns or profits). R&T®, Reich & Tang®, Demand Deposit Marketplace®, DDM®, DepositView® and RTID® are registered marks of R&T Deposit Networks, LLC. CDMX℠, R&T Fusion℠ and Fusion by R&T℠ are pending marks of R&T Deposit Networks, LLC. IDEA℠ and Certificate of Deposit Marketplace Exchange℠ are unregistered service marks of R&T Deposit Networks, LLC.

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