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LOS ANGELES, Feb. 26, 2015 /PRNewswire/ -- B. Riley & Co., LLC (B. Riley), a wholly owned subsidiary of B. Riley Financial, Inc. (OTCQB: RILY), has completed a $55 million rights offering for Signature Group Holdings (OTCQX: SGGHU), serving as dealer manager for the transaction.

Signature will use the net proceeds from the rights offering to fund its acquisition of the Global Recycling and Specification Alloys business (GRSA) from privately-held Aleris Corporation, a leading producer of aluminum rolled and extruded products, recycled aluminum, and specification aluminum alloy manufacturing.

On October 17, 2014, Signature announced its intent to acquire the GRSA business for $525 million, comprised of $495 million in cash and $30 million in preferred stock. Signature is funding the cash portion of the transaction through a combination of debt and equity financings, including the $55 million from the rights offering and a $28.5 million common stock offering completed last December for which B. Riley acted as the sole bookrunning manager.

"We have worked closely with the members of Signature's senior management team in various capacities over the last several years, and this transaction marks another milestone in our long-term relationship," noted Bryant Riley, chairman and CEO of B. Riley Financial and head of its investment banking team. "Supporting the success of these recent transactions has been Signature's highly compelling value proposition, along with its extraordinarily accomplished and capable management."

Craig Bouchard, chairman and CEO of Signature, commented: "In the December financing, B. Riley garnered the participation of key institutional investors who understand our vision and believe in our growth outlook —all of which who participated in this much larger rights offering that was completed perfectly. Bryant's sound guidance, and the thorough preparation and timely execution by his team, have kept us on a solid course toward completing our GRSA acquisition."

About Signature Group Holdings, Inc.
Signature is a North America-based holding company seeking to invest its capital in large, well-managed and consistently profitable businesses concentrated primarily in the United States industrial and commercial marketplace. Signature has significant capital resources, and federal net operating loss tax carryforwards of more than $900 million. For more information about Signature, visit its corporate website at www.signaturegroupholdings.com.

About B. Riley & Co., LLC
B. Riley & Co., LLC is a leading investment bank which provides corporate finance, research, and sales & trading to corporate, institutional and high net worth individual clients. Investment banking services include initial, secondary and follow-on offerings, institutional private placements, and merger and acquisitions advisory services. The firm is nationally recognized for its highly ranked proprietary equity research. B. Riley & Co., LLC is a member of FINRA and SIPC. For more information, please visit www.brileyco.com.

B. Riley & Co, LLC is part of B. Riley Financial, Inc. (OTCBB: RILY) which provides collaborative financial services and solutions through several subsidiaries, including: Great American Group, LLC, a leading provider of advisory and valuation services, asset disposition and auction solutions, and commercial lending services; B. Riley Asset Management, LLC, a provider of investment products to institutional and high net worth investors, and MK Capital Advisors, LLC a multi-family office practice and wealth management firm focused on the needs of ultra-high net worth individuals and families. B. Riley Financial, Inc. is headquartered in Los Angeles with offices in major financial markets throughout the United States and Europe. For more information on B. Riley Financial, Inc. please visit www.brileyfin.com.

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SOURCE B. Riley & Co., LLC