Listed property group Pelorus will merge its funds management business with Tankstream Fund Management.
"Tankstream directors David Mackey and Craig Williams will strengthen our funds management team and give us additional capacity to grow our funds management business," Pelorus managing director Stuart Brown said in a statement to the Australian Securities Exchange.
Tankstream manages two property securities funds and a pub fund.
"There are significant economies of scale in combining our business with Pelorus' existing operations," Tankstream director David Mackey said.
He said the merger will enable Tankstream to expand the range of investment products.
The merged funds management activities will continue under the Tankstream brand and Pelorus expects to further expand the business.
Pelorus acquired Reed Funds Management in June this year.
It now has a fund management business with eight funds holding gross assets in excess of $200 million.
It also operates a real estate portfolio of $250 million in assets and a property management and consultancy business that manages close to $550 million of commercial and retail property.
