Monday, 27 April 2015
Last updated 1 hour ago
Oct 22 2009 | 1:26pm ET
With the main ship sinking in New York, the managers of Galleon Group’s Asian hedge fund are talking management buyout.
The US$500 million Singapore-based unit hasn’t suffered the volume of redemption requests that the firm’s main funds, including that run by founder and suspected insider-trader Raj Rajaratnam, have the days since Rajaratnam’s arrest. The group is struggling to hold on to its investors and distance itself from the scandal-plagued flagship, and a “management buyout is the most logical option,” one source told Reuters.
The Singapore group is doing all it can to reassure investors that Rajaratnam’s problems are not its problems. It has told the Monetary Authority of Singapore that it is “currently not the subject of Securities and Exchange Commission investigations in the U.S.,” Bloomberg News reports.
According to the news agency, Galleon’s Asia chiefs, Frank Wong and David Lau, are trying to drum up interest from outside investors to join the potential buyout. Meanwhile, the firm’s traders in Singapore have cut their leverage and are trying to stay liquid to fill whatever redemption requests might come.
Galleon would consider an outright sale of the unit to an outside investor, according to Bloomberg. But the firm hasn’t received any bids for the group.
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…