Brookfield Said in Talks to Acquire Majority Stake in Castlelake

Brookfield Asset Management is in advanced talks to buy a majority stake in private-credit manager Castlelake, according to people with knowledge of the matter.

The potential deal would see Brookfield invest more than $1.5 billion in the Minneapolis-based firm, which manages around $22 billion, said the people, who asked not to be identified because they’re not authorized to speak publicly. The talks are advanced but could still fall apart, they said.

As part of the deal, Brookfield would be entitled to receive 51% of fee-related earnings and a much smaller share of carried interest, according to one of the ...