{"id":8496,"date":"2025-11-02T21:00:53","date_gmt":"2025-11-03T02:00:53","guid":{"rendered":"https:\/\/blogs.shu.edu\/stillmanexchange\/?p=8496"},"modified":"2025-11-02T21:04:45","modified_gmt":"2025-11-03T02:04:45","slug":"brookfield-asset-management-to-acquire-remaining-stake-in-oaktree-capital-management-3-bn-to-boost-its-credit-business","status":"publish","type":"post","link":"https:\/\/blogs.shu.edu\/stillmanexchange\/2025\/11\/02\/brookfield-asset-management-to-acquire-remaining-stake-in-oaktree-capital-management-3-bn-to-boost-its-credit-business\/","title":{"rendered":"Brookfield Asset Management to Acquire Remaining Stake in Oaktree Capital Management (~3 bn) to Boost its Credit Business"},"content":{"rendered":"

Sara Kathuria<\/strong>
\nStaff Writer<\/em><\/p>\n

Brookfield Asset Management is taking full ownership of Oaktree Capital Management, acquiring the remaining 26 percent stake for about $3 billion. The deal, expected to close in early 2026, will give Brookfield complete control of one of the world\u2019s most respected credit investors and further solidify its position among top global alternative asset managers.<\/p>\n

Strengthening a core business<\/p>\n

Brookfield, headquartered in Toronto, first purchased a majority stake in Oaktree in 2019 for $4.7 billion. That initial investment gave Brookfield a critical foothold in private credit and distressed debt markets\u2014segments that have become increasingly central to institutional investors seeking steady returns outside traditional lending.<\/p>\n

Since joining forces, Oaktree\u2019s assets under management have grown roughly 75%, a reflection of the firm\u2019s strong performance and the rising demand for credit-focused funds. By moving from partial to full ownership, Brookfield aims to integrate Oaktree\u2019s capabilities across its broader investment platform, which already spans infrastructure, real estate, renewables, and private equity.<\/p>\n

\"\"
Brookfield\u2019s five key business verticals, with Credit emerging as one of its fastest-growing areas following the Oaktree acquisition. (Courtesy of Brookfield Asset Management, May 2025 Investor Presentation)<\/strong><\/figcaption><\/figure>\n

Why the deal matters<\/p>\n

This acquisition comes at a time when private credit is reshaping global finance. With banks lending less amid tighter regulations and higher interest rates, firms like Brookfield and Oaktree are stepping in to fill the gap, offering flexible financing to corporations and investors. Gaining full control of Oaktree gives Brookfield greater influence in this space, positioning it to compete directly with industry giants such as Blackstone and Apollo.<\/p>\n

The deal also reflects a strategic shift for Brookfield. Known historically for its real asset investments, the company has been steadily diversifying into credit, viewing it as a stable, recurring source of revenue. By unifying operations with Oaktree, Brookfield strengthens its ability to manage risk across economic cycles while expanding its range of products for global clients.<\/p>\n

\"\"
Breakdown of Brookfield\u2019s fee-bearing capital by fund type, showing how most of its investor money is tied to long-term funds that include credit investments. (Courtesy of Bloomberg)<\/strong><\/figcaption><\/figure>\n

Leadership and integration<\/p>\n

Leadership continuity will play a central role in guiding this transition. Howard Marks and Bruce Karsh, Oaktree\u2019s co-founders, will remain deeply involved as senior advisors, preserving the firm\u2019s investment philosophy and client relationships under Brookfield\u2019s ownership. Their continued presence reinforces the credibility and stability behind the combined platform.<\/p>\n

Robert O\u2019Leary and Armen Panossian, Oaktree\u2019s co-CEOs, will assume expanded roles as heads of Brookfield\u2019s global credit business, integrating Oaktree\u2019s expertise with Brookfield\u2019s global reach. Together, they will oversee one of the largest credit operations in the world.<\/p>\n

Brookfield CEO Bruce Flatt described the acquisition as \u201ca natural next step\u201d that brings the best of both firms under one framework. He emphasized that the combination will enhance collaboration, accelerate growth in private credit, and strengthen Brookfield\u2019s long-term ability to deliver consistent results for investors.<\/p>\n

Broader implications<\/p>\n

The transaction also reinforces Brookfield\u2019s growing presence in the United States, where more than half of its employees are based and a large portion of its revenue is generated. Including Oaktree, Brookfield now manages over $1 trillion in assets, with credit becoming one of its fastest-growing divisions.<\/p>\n

Ultimately, Brookfield\u2019s full acquisition of Oaktree strengthens its foothold in credit investing and highlights how the firm continues to adapt to a changing global market.<\/p>\n

 <\/p>\n

Contact Sara at sara.kathuria@student.shu.edu<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

Brookfield Asset Management is taking full ownership of Oaktree Capital Management, acquiring the remaining 26 percent stake for about $3 billion. The deal, expected to close in early 2026, will give Brookfield complete control of one of the world\u2019s most respected credit investors and further solidify its position among top global alternative asset managers.<\/p>\n","protected":false},"author":4872,"featured_media":8497,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_container_layout":"default_layout","colormag_page_sidebar_layout":"default_layout","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[5,2],"tags":[1711,1772,419,423,1768,239],"class_list":["post-8496","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","category-trending","tag-1711","tag-acquisitions-asset-management","tag-finance","tag-november","tag-private-credit","tag-private-equity"],"_links":{"self":[{"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/posts\/8496","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/users\/4872"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/comments?post=8496"}],"version-history":[{"count":4,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/posts\/8496\/revisions"}],"predecessor-version":[{"id":8552,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/posts\/8496\/revisions\/8552"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/media\/8497"}],"wp:attachment":[{"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/media?parent=8496"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/categories?post=8496"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.shu.edu\/stillmanexchange\/wp-json\/wp\/v2\/tags?post=8496"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}