Oct 13 (Reuters) - Brookfield said on Monday it

would buy the remaining 26% stake in U.S.-based asset manager

Oaktree Capital Management for about $3 billion, as the

investment firm looks to strengthen its credit business.

Under the terms of the deal, New York-based Brookfield Asset

Management ( BAM ) and its parent, Brookfield, will fund

roughly $1.6 billion and $1.4 billion of the purchase price,

respectively.

The deal will make the U.S. the largest market for

Brookfield Asset Management ( BAM ), with $550 billion in assets across

the country, employing more than 50% of its workforce and

generating about half of its revenue.

Brookfield had bought most of Oaktree for roughly $5 billion

in 2019, creating an alternative asset manager juggernaut to

compete against heavyweights such as Blackstone.

The move had allowed Brookfield to scale its private credit

business and expand its wealth solutions business, which offers

tailored investment strategies across public and private

markets.

Founded in 1995, Oaktree specializes in distressed debt

investing, and had $209 billion in assets under management as of

June 30.

Including 100% of Oaktree, Brookfield Asset Management ( BAM )

generated roughly $2.8 billion in fee-related earnings over the

last twelve months.

"Oaktree will remain central to Brookfield's credit

strategy, and we see significant opportunities to grow the

franchise and expand what we can offer our clients together,"

said Howard Marks, co-chairman of Oaktree.

Marks will remain on Brookfield's board, while Bruce Karsh,

the chief investment officer of Oaktree, will join Brookfield

Asset Management's ( BAM ) board.

Additionally, Oaktree co-CEOs Robert O'Leary and Armen

Panossian will become the co-CEOs of Brookfield's credit

business.

The deal is expected to close in the first quarter of 2026.