Eton Park Buys Distressed Debt Shop

Nov 19 2007 | 3:19pm ET

Like many hedge funds, Eton Park Capital Management is branching out into credit investing. But it isn’t starting from scratch.

The $10 billion New York-based hedge fund manager is absorbing R6 Capital Management, a $300 million New York distressed debt and lending hedge fund shop. R6 has sold its portfolio to Eton Park and will close, while founder Ralph Rosenberg and his team will join Eton Park. Rosenberg and Eton Park founder Eric Mindich worked together at Goldman Sachs.

R6’s fund is reportedly up 5% this year, as it capitalized on the credit crunch by betting against the fixed-income markets.

Eton Park does not focus on debt investing, and R6 had found it difficult to raise capital for its hedge fund. The deal will allow Rosenberg to use Eton Park’s infrastructure to boost the amount of money he runs in his strategy.


In Depth

Debunking Conventional Investment Wisdom

Feb 8 2017 | 3:22pm ET

Due diligence in the hedge fund world has long involved some combination of the...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Future of Private Equity: New Opportunities, New Challenges

Feb 3 2017 | 6:41pm ET

The private equity industry’s astonishing rebound since the financial crisis has...

 

From the current issue of