Merrill Lynch is taking a minority stake in GSO Capital Partners, an $8 billion hedge fund, the Wall Street Journal reported on its Web site on Monday.
Merrill will own slightly less than 20% of GSO, the paper said. Terms of the deal were not disclosed, but the paper cited the firms as saying it valued GSO at less than what the public market would have paid.
This deal will potentially give Merrill access to more private-equity financing, the paper reported. Merrill and GSO could not be reached immediately.
