Highbridge, Dreyfus To Sell Joint-Venture To Highbridge Chief, Others

Oct 4 2012 | 12:42pm ET

A group of hedge fund managers, including Highbridge Capital Management's own Glenn Dubin, is to buy Highbridge's energy-trading joint-venture with Louis Dreyfus Group.

Dubin leads a group that includes Atticus Capital founder Timothy Barakett, Tudor Investment Corp. founder Paul Tudor Jones and Continental Grain's Paul Fribourg. To avoid a conflict of interest, Dubin will buy most of Dreyfus' stake, while his fellow investors negotiated directly with Highbridge. Dreyfus will retain a minority stake in LDH Energy, which will be renamed Castleton Commodities International.

"As a global commodity merchant, the quality of your relationships, whether at the board or company level, is critical for the number of opportunities you see," LDH CEO William Reed told the Financial Times.

The deal comes as Dreyfus focuses on its core agricultural-trading business, while Dubin, Highbridge's chairman, told the FT that a sale had always been anticipated.

Terms of the sale were not disclosed.

LDH is one of the largest natural gas, crude oil and products traders in the world. It was set up in 2006 by Highbridge and Dreyfus, and made between US$200 million and US$300 million in profit last year. It is also planning a major expansion from its North American base, into Asia and Europe.


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR