Assicurazioni Generali’s investment arm is acquiring a 77% stake in U.S.-based middle-market investment firm MGG Investment Group for $320 mn.
The M&A deal enhances Generali’s global private credit capabilities. Generali will complete the acquisition through its affiliate, Conning & Co., while existing shareholders, including MGG management and McCourt Global, will retain a minority stake.
The transaction is expected to close this year, pending customary approvals and conditions.
MGG, established in 2014 by Kevin Griffin and McCourt Global, provides senior secured loans and structured capital solutions to U.S. middle-market businesses. It has deployed over $10 bn across 175+ deals, focusing on non-sponsored borrowers and complex situations. Griffin, MGG’s CEO and CIO, will continue to lead the firm, with no changes to its investment strategy or processes.
Generali Investments CEO Woody Bradford highlighted that the acquisition aligns with their strategy to expand private credit offerings. He noted that MGG’s expertise in middle-market lending complements Generali’s existing capabilities, positioning the firm to better support clients’ direct lending goals.
Acquiring MGG accelerates Generali Investments’ strategic build-out of our private credit capabilities to meet the evolving needs of our clients, including our affiliated insurance companies who will become investors in MGG offerings
Woody Bradford, chief executive officer and general manager, Generali Investments
“MGG’s rigorous credit underwriting, structuring approach and focus on middle market, non-sponsored borrowers complement our existing offerings and better position us to help clients achieve their direct lending investment objectives,” said Woody Bradford
This acquisition follows Generali Investments’ recent purchase of Conning from Cathay Life. Under the terms of that deal, Cathay retains a 16.75% stake in the new combined business and has committed to a 10-year agreement for managing specific insurance assets under Generali’s asset management affiliates.