Tuesday, 26 July 2016
Last updated 7 min ago
Sep 19 2012 | 12:47pm ET
Hermes Fund Managers has agreed to sell its pioneering activist hedge fund unit to RWC Partners.
RWC will pay a "small" amount for Hermes Focus Asset Management, which manages US$800 million. The decision to part ways with the 14-year-old unit came after the decision that "these funds no longer fit with our business," Hermes CEO Saker Nusseibeh told the Financial Times, and was driven by HFAM's dozen-strong team.
The acquisition will boost RWC's assets to about US$5 billion. RWC CEO Peter Harrison, who will take over at HFAM from David Pitt-Watson, told the FT he hopes to boost the unit's assets to US$2 billion in relatively short order.
HFAM was set up by Hermes founder Alastair Ross-Goobey in 1998.