Italian firm Generali Investments will acquire a 77% majority stake in U.S. private direct lending investment firm MGG Investment Group for $320 million, according to a news release.
MGG Investment, which has $6 billion in assets under management, inked the deal in which Generali subsidiary Conning & Co. will take majority control.
MGG provides senior secured loans and structured capital solutions to U.S. middle-market businesses. Since its inception in 2014, the firm has deployed more than $10 billion across more than 175 deals.
“Acquiring MGG accelerates Generali Investments’ strategic buildout of our private credit capabilities to meet the evolving needs of our clients, including our affiliated insurance companies who will become investors in MGG offerings,” said Woody Bradford, CEO and general manager of Generali Investments, in the news release.
MGG will continue to be led by CEO and CIO Kevin Griffin, with no announced changes to MGG’s investment strategy or processes. On top of the $320 million deal, additional amounts will be payable to MGG by Generali Investments subject to reaching certain operating milestones.
Ardea Partners International served as financial adviser and Morgan, Lewis & Bockius acted as legal adviser to Generali. UBS Securities was financial adviser, while Schulte Roth & Zabel and Cadwalader, Wickersham & Taft served as legal advisers to MGG and its shareholders.
Generali Investments had €632 billion ($705.5 billion) in assets under management as of Sept. 30.
