Brookfield Asset Management, an alternative asset manager with approximately $1tn of AUM across infrastructure, private equity, real estate, and credit has acquired a 51% stake in fee-related earnings at alternative investment manager Castlelake.
Castlelake specialises in asset-based private credit including aviation and specialty finance.
As part of the $1.5bn strategic deal, Brookfield Wealth Solutions has committed to invest into Castlelake’s investment strategies and private funds.
In a joint statement, co-founders of Castlelake, Rory O’Neill and Evan Carruthers said: “We’re thrilled to begin realising our partnership with Brookfield and the incremental value that it will bring to our firm, clients and employees. Castlelake and Brookfield are aligned in approach and values and complement each other in expertise and experience. We believe that being a part of Brookfield will help accelerate Castlelake’s innovation and scale our platform while preserving the expertise and focused approach that has made our firm unique for so many years.”
Castlelake was founded in 2005 and is one of the longest-tenured investment firms in the market that specialises in asset-based investments. Over 19 years the firm has executed $39bn of capital deployment across more than 1,300 transactions globally. The firm manages approximately $24bn of assets on behalf of more than 200 diverse institutional investors.
Castlelake will continue to operate its business independently, retaining its current governance and leadership structure, including O’Neill as Executive Chair and Carruthers as Chief Executive Officer and Chief Investment Officer. It will also retain majority ownership of its performance-related earnings.
