Investment bank Moelis is acquiring the management companies of Gracie Credit, a multi strategy credit manager.

The acquisition will expand Moelis’ asset management platform and enable Gracie to benefit from the added resources and global reach of a larger organisation.

Following closing of the transaction, expected in November of this year, Gracie will operate as a separate business within Moelis.

Established in 2004 by managing partner Daniel Nir, Gracie has approximately USD2bn in assets under management and targets investment opportunities across the entire spectrum of credit products and markets. Nir and partners James Palmisciano, Manbir Singh, Michael Robertson and Alex Koundourakis lead a team of 30 employees, including 18 investment professionals.

In connection with the transaction, each of the Gracie partners has entered into a long-term employment agreement with economic incentives and other provisions designed to keep the investment team intact and focused on Gracie's investment mandate. The Gracie investment management team will remain independent and operate autonomously from Moelis.

Terms of the transaction were not otherwise disclosed.

“We are committed to building a premier asset management business at Moelis with the same client focus that we have demonstrated in our investment banking business,” says Ken Moelis, chief executive officer of Moelis. “The acquisition of Gracie significantly enhances our platform for institutional clients seeking top-tier investment solutions and further expands our business activities. This acquisition is consistent with our strategic goal to build a leading global investment bank that can best serve clients and build long-term, trusted relationships.”

“Gracie is very pleased to join Moelis & Company,” adds Nir. “Joining forces with a world class financial services firm will provide significant, long-term benefits to our organisation.”