RAB Buys Hong Kong Hedge Fund

Jun 28 2007 | 10:02am ET

RAB Capital has agreed to acquire the business of Hong Kong-based Pi Investment Management Limited for £13 million (US$25.9 million), payable in cash and shares. The new RAB subsidiary will provide investment management and advisory services in connection with existing RAB products as well as the two Pi funds.

Under the terms of the deal, RAB will pay the partners of Pi £3.97 million ($US7.9 million) in cash and 4,193,265 ordinary shares that will vest over three years. Depending on the total assets under management on July 1 of this year and performance over the first three years, further shares may become payable and will be delivered over a vesting period of up to five years.

Pi was established in 2002 by Alain Barbezat, Caesar Man Wa Luk and Nissim Tse. The three Pi founders and all 10 other Pi staff will continue to operate within Pi. The firm currently manages two long/short funds and three managed accounts linked to the larger of the two funds, the Pi Asia strategy, which focuses on pan-Asian equity.

Separately, the Pi team manages the Pi Japan strategy, which was launched in 2005. As of June 1, the combined strategies represented approximately $220 million in assets under management.

“RAB’s third strategic acquisition since listing further diversifies the business and brings us a greater depth of expertise in one of the world’s most important regions,” said Michael Alen-Buckley, RAB’s executive chairman. “This acquisition also offers RAB the ability to develop its distribution and improve its trading capacity in the Asia region, where we have further ambitions.”


In Depth

Q&A: Star Mountain's Brett Hickey On Investing In 'The Growth Engine Of America'

Sep 22 2017 | 5:06pm ET

Lower middle-market companies form the economic fabric of the nation, but they can...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Don’t Overlook These 6 Hybrid Cloud Concerns

Sep 14 2017 | 6:27pm ET

Cloud-based technology solutions have made tremendous inroads into the alternative...

 

From the current issue of

Business Insider has been reporting on the unusual trading activity of a mystery trader who placed a profitable short equity bet to the tune of $21 million on the Aug. 10 move in the CBOE Volatility Index (VIX).