GSO Capital Partners (GSO) was an American hedge fund and the credit investment arm of Blackstone. It was one of the largest credit-oriented alternative asset managers in the world and a major participant in the leveraged finance marketplace. The firm invested across a variety of credit oriented strategies and products including collateralized loan obligation vehicles investing in secured loans, hedge funds focused on special situations investments, mezzanine debt funds, and private equity funds focused on rescue financing.
It was acquired by Blackstone in March 2008. In November 2020, it was rebranded to Blackstone Credit.
History
GSO was founded in 2005 by Bennett Jay Goodman, J. Albert Smith III, and Doug Ostrover. The GSO team had previously managed the leveraged finance businesses at Donaldson, Lufkin & Jenrette and later Credit Suisse First Boston, after the acquisition of DLJ.[1] The firm is named for its three founding partners Bennett Goodman, Tripp Smith, and Doug Ostrover who had previously worked together at Donaldson, Lufkin & Jenrette and later Credit Suisse First Boston.
In May 2007, GSO sold a minority stake in its business to