Tuesday, 31 May 2016
Last updated 14 min ago
Feb 29 2012 | 1:15pm ET
Fund of hedge funds GAM Holding has bought a fellow Swiss fund manager—the first of what could be a series of acquisitions.
GAM paid 10 million Swiss francs (US$11.5 million) for a majority stake in Arkos Capital. Lugano-based Arkos, which has 664 million Swiss francs in assets under management, had been looking for a larger firm to partner with, Financial News reports.
The acquisition gives GAM its first equity long/short strategy since the exit in 2009 of Ross Holliman. Arkos focuses on European and emerging markets.
As part of the deal for Arkos, GAM acquired roughly three-quarters of the firm, including the stake previously owned by Swiss private bank Banca Arner. GAM will buy the remaining shares in three years.
A GAM spokeswoman told FN that the Arkos deal may not be its last. The cash-rich firm is eyeing other possible single-manager acquisitions.