Candriam and New York Life Investments Alternatives will take a total 33% stake in European private capital firm Kartesia Management, a spokeswoman confirmed.
Candriam and NYLIA are affiliate companies of insurer New York Life. The exact split of the 33% stake was not available. Financial terms were not disclosed. The deal is expected to complete by the end of the year.
Kartesia has more than €2.5 billion ($3 billion) in assets under management, covering senior debt, mezzanine, minority equity interest and collateralized loan obligation liabilities.
The stake will be acquired from Kartesia's founders. The firm's existing management and investment autonomy will be retained but Kartesia will gain access to Candriam and NYLIA's operating and financial resources, distribution network and scale, a news release said.
The deal enables Candriam to expand its alternatives platform to include private credit, the spokeswoman said. Kartesia will also complement NYLIA's existing U.S. private credit capabilities.
"We are excited to partner with Kartesia to add European private credit to our multispecialist offerings," Naim Abou-Jaoude, CEO of Candriam and chairman of New York Life Investment Management International, said in the release. "Kartesia has built an impressive track record across Europe's lower midmarket over the last decade and has core values that are highly aligned with those of Candriam and our affiliate, New York Life Investments Alternatives. Under this partnership, I am confident that the combination of our strengths will benefit our clients, as we navigate the dynamics of the current global market environment."
Jaime Prieto and Damien Scaillierez, managing partners at Kartesia, said in the same release: "We are enthusiastic to create a partnership that will strengthen the Kartesia platform and bring further growth opportunities to our team and our clients."
Candriam has €128 billion in assets under management. NYLIA's three alternative investing boutiques — GoldPoint Partners, Madison Capital Funding and PA Capital — manage more than $30 billion in assets.