(Bloomberg) -- Onex Corp. said Bobby Le Blanc will become its chief executive officer next year, replacing Gerry Schwartz, who has been in charge of the private-equity firm since he founded it.  

Le Blanc will take over after the 2023 annual meeting. Schwartz, 80, will remain chairman and controlling shareholder. Toronto-based Onex is also proposing to add a five-year sunset clause to Schwartz’s multiple-voting shares, meaning he would relinquish voting control by 2028. 

It would be a dramatic change for one of Canada’s largest listed private-equity firms, which has been dominated by one man since it opened in 1984. On an equity basis, Schwartz owns about 13% of Onex, according to data compiled by Bloomberg. 

Onex promoted Le Blanc to president in 2020, elevating him above other senior managing directors as the likely successor to Schwartz. The company has $47.2 billion under management, including $7.6 billion of its own capital. 

“Bobby has shown exemplary leadership over his 23 years with Onex and is ideally suited to guide Onex into its next phase of growth while providing for a smooth transition for the organization,” Schwartz said in a statement Friday.

Read more: Onex’s Le Blanc Sees Harder Fundraising in ‘Crowded’ Deal Market

Onex has diversified its business in recent years, expanding its credit arm and acquiring Canadian wealth manager Gluskin Sheff & Associates. But the shares have fallen about 24% over the past five years, lagging larger investment firms including KKR & Co., Blackstone Inc. and Brookfield Asset Management Inc. 

Onex was down 1.2% to C$70.80 at 9:53 a.m. Toronto time on Friday. Earlier, it reported a $180 million loss for the third quarter. Onex said investing capital per share dipped 1%, and the value of its private equity investments dropped 2% during the quarter. 

(Updates with share price and information on additional information from the third paragraph)

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