Acquisitions

12 Months Ended

Dec. 31, 2023

Business Combination and Asset Acquisition [Abstract]

Acquisitions

3. Acquisitions

Abingworth Acquisition

On August 1, 2022, the Company acquired 100% of the equity interests in Abingworth, a London-based life sciences

investment firm. Abingworth has $2 billion in assets under management and is included in the Company’s Global Private

Equity business segment. The purchase price consisted of $161.2 million in cash and approximately 0.6 million newly issued,

fully vested common shares ($25.0 million based on the value of the shares at closing). The transaction also included an earn-

out of up to $130.0 million that is payable upon the achievement of certain revenue and earnings performance targets during

2023 through 2028, which will be accounted for as compensation expense. The Company consolidated the financial position

and results of operations of Abingworth effective August 1, 2022 and accounted for this transaction as a business combination.

In connection with this transaction, the Company incurred approximately $7.7 million of acquisition costs that are reflected in

general, administrative and other expenses in the consolidated statements of operations for the year ended December 31, 2022.

See Note 4 to the consolidated financial statements included in the Company’s 2022 Annual Report on Form 10-K for

additional information on the Abingworth acquisition.

Acquisition of CLO Management Contracts from CBAM Partners LLC

On March 21, 2022, the Company acquired the management contracts related to a portfolio of assets primarily

comprised of U.S. and European CLOs as well as other assets across private credit from CBAM Partners LLC (“CBAM”). The

purchase price of $812.9 million consisted of a combination of $618.4 million in cash, including approximately $3.4 million of

acquisition costs incurred by the Company in connection with the transaction, and approximately 4.2 million newly issued, fully

vested common shares ($194.5 million based on the value of the shares at closing).

In connection with the acquisition of the CLO management contracts, the Company acquired CLO senior and

subordinated notes of $175.9 million. A portion of these CLO investments is financed through term loans and other financing

arrangements with financial institutions, which are secured by the Company’s investments in the respective CLO, have a

general unsecured interest in the Carlyle entity that manages the CLO, and generally do not have recourse to any other Carlyle

entity (see Note 7).

This transaction was accounted for as an asset acquisition and the acquired contractual rights of $794.3 million are

finite-lived intangible assets. The finite-lived intangible assets are amortized using the straight-line method over a period of

primarily seven years, which reflects the Company’s assumptions regarding resets of the CLOs and extension of the CLO

management contracts.

See Note 4 to the consolidated financial statements included in the Company’s 2022 Annual Report on Form 10-K for

additional information on the acquisition of CLO management contracts from CBAM.