Salient Partners LP, a Houston-based asset and wealth management firm with $16 billion under management, announced Thursday that it has entered into a definitive agreement to acquire RDG Capital LLC, a boutique wealth advisory firm also headquartered in Houston.

RDG Capital manages approximately $1 billion, including a master limited partnerships (MLP) complex of long/short funds, long-only portfolios and private equity investments. The combined organization will manage some $17 billion and have approximately 100 investment professionals and staff dedicated to serving both private and institutional clients.

According to the statement, RDG’s co-founders and principals, Gregory Reid and J. Cole Dawson III, will join the senior management team at Salient Partners. Reid will become president and chief executive of Salient’s MLP business. Dawson will become president and chief executive of Salient’s wealth management business, responsible for managing a team of wealth management advisors.

 “Salient is one of the most innovative firms in the investment business,” Reid said in the statement. “Our clients will immediately benefit from this expertise. Salient also has a terrific culture and offers high-net-worth families a full range of family office and financial planning services.”