Conning agreed to acquire Octagon Credit Investors, a manager of specialized credit asset classes with expertise in collateralized loan obligations, bank loans and high-yield bonds, said Conning spokeswoman Katrin Lieberwirth.
The total capital commitment of the deal is up to $175.6 million. Conning will acquire an 82% controlling interest.
After the deal closes, which is expected to take place in 2016, Octagon will operate as a subsidiary of Conning and be governed by its own board of directors. Andy Gordon will continue as Octagon's CEO and chief investment officer, and the firm's existing investment and business teams will remain in place. Octagon will keep its company name, brand and New York office.
The transaction is subject to customary regulatory approvals and closing conditions.
Octagon manages $12.8 billion in assets, while Conning, an investment management company for the global insurance industry, has $93 billion in assets under management as of Sept. 30.