American private-equity firm Carlyle Group is set to buy Canada-based Diversified Global Asset Management (DGAM) to expand from private equity.

According to Wall Street Journal, the deal is valued at $33 million, plus a possible $70 million if the hedge-fund firm achieves a certain level of performance.

The publication quoted George Main, CEO of DGAM, saying, "The firm has grown and generated strong performance, but still was a relatively unknown brand from Canada. I expect the Carlyle deal to allow the firm to expand its client base."

Jacques Chappuis, managing director of Carlyle Solutions, said: "Increasingly, investors don’t want to be approached with products, they want help from an organization to think through the different options available to them, including hedge funds, private equity and other kinds of investments."

Carlyle also bought Metropolitan Real Estate Equity Management Earlier this month.