Merrill Buys Stake In Hedge Fund GSO

May 21 2007 | 11:02am ET

Merrill Lynch is buying a minority stake in GSO Capital Partners and will invest in a number of its strategies, the firm said today. 

The New York-based hedge fund focuses on such strategies as leveraged loans, distressed investments, special situations, capital structure arbitrage, mezzanine securities and private equity, and manages roughly $8 billion.

“The investment in GSO is a continuation of our strategy to invest in best-in-class alternative investment managers worldwide,” Rohit D’Souza, who heads Merrill’s global alternatives unit, said in a statement.

GSO was founded two years ago by Bennett Goodman, the former managing partner of Credit Suisse First Boston’s alternative capital division. Goodman said, “We look forward to collaborating with [Merill] on future projects.”

Terms of the deal were not disclosed, but The Wall Street Journal reports that Merrill would own slightly less than 20% of GSO, similar to the stake it took in hedge fund DiMaio Ahmad Capital last year.


In Depth

The Benefits Of Private Debt Investing

May 7 2015 | 10:43am ET

Jeffrey Haas is chief operating officer of Old Hill Partners Inc., an SEC-registered...

Lifestyle

Yale Receives $150 Million Gift from Blackstone’s Schwarzman

May 12 2015 | 12:10am ET

Yale University announced it has received a $150 million gift from Blackstone Group...

Guest Contributor

How To Generate 6% Yield In A Volatile World

May 22 2015 | 6:41am ET

Private credit comes in many different flavors, all with the common themes of over...

 

Sponsored Content

Editor's Note