(Bloomberg) -- A fund managed by Blackstone Inc. is in advanced negotiations to acquire a minority stake in growth-equity investment firm FTV Capital, according to a person with knowledge of the matter.

A deal hasn’t been finalized and it’s possible the talks could collapse. Representatives for Blackstone and FTV declined to comment.

FTV, with offices in San Francisco and New York, raised $2.3 billion last year for its largest fund yet. The firm, led by managing partner Brad Bernstein, generally makes equity investments of $30 million to $200 million and focuses on enterprise technology, financial services and payments. Its portfolio includes companies such as ID.me, LoanPro and ETF Securities.

Alternative asset managers have increasingly leaned on passive stake sales to generate liquidity, which some founders use to reinvest in firms.

Read more: FTV Capital Raises $2.3 Billion for Newest Growth Equity Fund

Last year, Blue Owl Capital Inc.’s Dyal Capital agreed to acquire a minority stake in growth-equity specialist Lead Edge Capital, while Bonaccord Capital Partners bought a stake in VMG Partners. Last week, Hunter Point Capital said it would buy a stake in L Catterton, which also makes growth-equity bets.

--With assistance from Kamaron Leach.

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