Carlyle Group to acquire, integrate Toronto-based hedge funds manager DGAM
U.S. private equity firm The Carlyle Group has agreed to buy Diversified Global Asset Management Corp (DGAM), a Toronto-based manager of hedge funds with more than US$6.7 billion in managed and advised assets. The deal's value was not published, though one source estimated it at US$33 million, plus a possible US$70 million if performance objectives are met. Upon completion of the transaction, expected in Feb. 2014, DGAM will become Carlyle’s hedge funds platform, with George Main and Warren Wright continuing in their roles as the company's CEO and CIO, respectively. Carlyle co-founder and co-CEO David M. Rubenstein said the buy would allow his firm to offer investors "the ability to allocate across alternatives in hedge funds, private equity and real estate.” Founded in 2004, DGAM invests on behalf of institutional investors.
