Wednesday, 24 August 2016
Last updated 9 min ago
Jul 31 2013 | 10:57am ET
Credit Suisse is poised to sell a second private-equity business, to fund of hedge fund Grosvenor Capital Management.
The bank is in advanced talks with the Chicago-based fund, The Wall Street Journal reports. A deal for Customized Fund Investment Group could be announced as soon as this week, although nothing has been finalized.
Grosvenor could pay as much as $200 million for the unit, which manages about $20 billion in assets invested in third-party p.e. funds. CFIG also has another $10 billion in commitments.
A deal would roughly double Grosvenor's size. The firm currently manages about $23 billion.
Credit Suisse announced plans to sell CFIG and a second p.e. unit, CS Strategic Partners, last year, moves designed to boost its capital and to come into compliance with new U.S. regulations limiting banks' hedge fund and private-equity activities. The bank in April agreed to sell CS Strategic, its private-equity secondaries platform, to the Blackstone Group.