Oaktree Completes Spin-Out of Infrastructure Manager Duration Capital

Oaktree Capital Management completed the spinout of Duration Capital Partners, a new private investment manager focused on transportation infrastructure in North America, with Emmett McCann and Josh Connor serving as co-CEOs. Oaktree will continue to be a minority investor in Duration, with John Frank, Oaktree’s VC and former managing partner, serving as chairman.

Duration, with offices in New York and Santa Barbara, CA, plans to invest in North American transportation infrastructure. The firm will be supported by a network of industry experts with expertise in aircraft, ports, railroads and logistics.

“Transportation infrastructure requires a specialized, long-term, and values-based investment approach,” said McCann. “We have established a team and a platform built on sector expertise, trust, reliability, safety, and a commitment to operational excellence.”

Duration spun out with $3.5 billion in assets under management and 13 portfolio companies, including Watco, OTG Management, Ports America, and Rand Logistics.

“We’re pleased to continue to support Emmett, Josh, and the entire Duration team,” added Howard Marks, co-chairman of Oaktree. “As part of Oaktree over the last seven years, the team has built a differentiated platform with a compelling portfolio of investments and a strong pipeline.”

McCann began his career at Goldman Sachs, where he helped build their infrastructure investment banking group. He later moved to Morgan Stanley, where he advanced the firm’s infrastructure initiatives in Europe and North America. He worked eight years with infrastructure investor Highstar Capital before it was acquired by Oaktree in 2014.

Connor spent six years at Barclays as managing director and co-head of industrials banking. He joined Oaktree in 2017. He spent 15 years with Morgan Stanley, rising to the position of global co-head of transportation and infrastructure.