DFO Management, LLC (formerly MSD Capital) is an American
family office
A family office is a privately held company that handles investment management and wealth management for a wealthy family, generally one with at least $50–100 million in investable assets, with the goal being to effectively grow and transfer ...
that manages the capital of
Michael Dell
Michael Saul Dell (born February 23, 1965) is an American billionaire businessman and investor. He is the founder, chairman, and CEO of Dell Technologies, one of the world's largest technology infrastructure companies.
As of May 2025, accordin ...
and his family. The firm, which is based in New York City and has offices in Santa Monica and West Palm Beach, was formed in 1998.
Founding and management
In 1998, Michael Dell recruited John C. Phelan and Glenn R. Fuhrman to form MSD Capital to manage his family's wealth. For over 20 years, Phelan and Fuhrman had been co-managing partners of MSD Capital, until the end of 2019 when Fuhrman retired. In 2021, Gregg Lemkau joined as CEO and has run the firm since. Phelan continued as chief investment officer until his retirement in June 2022.
In December 2022, MSD Capital was restructured to form DFO Management.
Activities
According to information on MSD Capital's website, the firm has a broad investment mandate and has the flexibility to invest in a wide variety of asset classes. Since its founding in 1998 through 2019, MSD Capital has generated more than $17 billion in profits.
Based on the most recent
Form 13F
Form 13F is a quarterly report filed, per United States Securities and Exchange Commission regulations,PVH Corp., the apparel company that owns brands including Calvin Klein and Tommy Hilfiger, and Dine Brands Global, known for its IHOP and Applebee's restaurants.
Among MSD Capital's real estate holdings are the luxury resorts Four Seasons Resort Maui and
Four Seasons Resort Hualalai
Four Seasons Resort Hualalai at Historic Kaūpūlehu is a AAA Five Diamond rated Four Seasons resort in Kaūpūlehu, on the Kona- Kohala Coast of the island of Hawaii.
The tsunami from the 2011 Tōhoku earthquake damaged the resort and forced ...
, both located in Hawaii.
In 2008, MSD Capital joined a consortium to acquire the assets of
IndyMac
IndyMac, a contraction of Independent National Mortgage Corporation, was an American bank based in California that failed in 2008 and was seized by the United States Federal Deposit Insurance Corporation (FDIC).
Before its failure, IndyMac Bank ...
Bank for around $13.9 billion, renaming it
OneWest Bank
OneWest Bank is a former US regional bank that operated from March 2009 to July 2022, when it became a division of First Citizens BancShares. With over 60 retail branches in Southern California. OneWest Bank specialized in consumer deposit an ...
.
In 2013, MSD Capital participated in the $24 billion acquisition of Dell Inc. by Michael Dell and Silver Lake, as well as Dell's $60 billion merger with EMC in 2016 and the company's 2018 IPO.
In July 2016, it was announced that MSD Capital and MSD Partners would provide preferred equity financing to support WME , IMG in its acquisition of
UFC
The Ultimate Fighting Championship (UFC) is an American mixed martial arts (MMA) promotion company based in Las Vegas, Nevada. It is owned and operated by TKO Group Holdings, a majority owned subsidiary of Endeavor Group Holdings. The larg ...
, the professional mixed martial arts (MMA) organization, alongside strategic investors
KKR KKR may refer to:
* KKR & Co., a global investment firm
*Kolkata Knight Riders, an Indian Premier League franchise
* Rheinsberg Nuclear Power Plant (), first nuclear power plant in the former East Germany
* Kalkara, Malta, postal code KKR
*Kir-Bala ...
and Silver Lake Partners.
Also in 2016, MSD Capital bought an interest in Grand Central Terminal's air rights for $126 million. Two years later they sold some of the air rights to JPMorgan for $238 million.
In August 2017, MSD Capital partnered with TruAmerica Multifamily to acquire the Florida-based multifamily community Sienna at Lake Vista for $66 million.
MSD Partners
In 2009, the principals of MSD Capital formed MSD Partners, an investment adviser registered with the U.S. Securities and Exchange Commission, to enable outside investors to invest in strategies that were developed by MSD Capital. Since then, MSD Partners has operated as a separate entity from MSD Capital. The firm operates from New York, Santa Monica and West Palm Beach. It focuses on four areas of investing: credit, private equity, real estate and growth equity.
MSD Credit invests in liquid corporate credit, including leveraged loans, private credit and real estate credit with an emphasis on long-term partnerships."Credit," ''MSDCapital Website'', retrieved October 10, 2022.
MSD Private Capital invests in control buyouts, significant minority and structured equity, with the flexibility for long-term investment."Private Capital," ''MSDCapital Website'', retrieved October 10, 2022. The Private Capital Group is primarily focused on control private equity investments. MSD's private equity team has invested in East West Manufacturing,
West Monroe Partners
West Monroe is a digital services firm headquartered in Chicago, Illinois.
West Monroe provides traditional management consulting, creative and product engineering services to businesses across many industries, including consumer and industrial ...
Ultimate Fighting Championship
The Ultimate Fighting Championship (UFC) is an American mixed martial arts (MMA) promoter (entertainment), promotion company based in Las Vegas, Nevada. It is owned and operated by TKO Group Holdings, a majority owned subsidiary of Endeavor ( ...
, and WIRB-Copernicus Group. In 2017, MSD invested a combined $650 million in the acquisitions of Hayward Industries Inc. and Ring Container Technologies Inc.
MSD Real Estate seeks assets with significant barriers to entry and strong long-term growth characteristics. Since its founding in 2004, the MSD Real Estate team has committed approximately $2.5 billion of equity into more than 35 real estate and real estate-related transactions."Real Estate," ''MSDCapital Website'', retrieved October 10, 2022. The firm's real estate deals include Four Seasons Maui, Fairmont Miramar, and The Boca Raton.
MSD Growth is focused on high growth, founder-led, private technology companies with a preference for enterprise, consumer, fintech and healthcare industries. Investments range from $10 million to $100+ million in a single company."Growth," ''MSDCapital Website'', retrieved October 10, 2022.
In October 2022, MSD Partners merged with BDT & Co to form
BDT & MSD Partners
BDT & MSD Partners is an American merchant bank that is co-headquartered in Chicago and New York City. The firm has both an advisory platform and an investment platform.
History
In January 2023, BDT & MSD was formed from the merger of BDT & Co ...