Merrill Lynch Announces Minority Investment in GSO Capital Partners L.P.

NEW YORK,— Merrill Lynch (NYSE: MER) today announced that it has agreed to purchase a minority stake in GSO Capital Partners L.P. (“GSO”), a New York-based registered investment management firm. As part of the transaction, Merrill Lynch will invest capital in a number of GSO’s strategies. Financial terms were not disclosed.

“GSO has a uniquely talented team of investment professionals who have extensive expertise in the leveraged finance marketplace,” said Greg Fleming, co-president of Merrill Lynch & Co., Inc. “We look forward to working together to grow their firm by utilizing the global resources of Merrill Lynch.”

“Merrill Lynch has world-class franchises in products and geographies that are very relevant to our investment strategies,” said Bennett Goodman, senior managing partner of GSO. “We look forward to collaborating with them on future projects.”

“This investment in GSO is a continuation of our strategy to invest in best-in-class alternative investment managers worldwide,” said Rohit D’Souza, head of Global Alternative Investments and global head of Equities at Merrill Lynch.