The largest British hedge fund manager Man Group Plc has signed agreement to acquire the American leveraged loan manager Silvermine Capital in a deal worth at $70 million.
The hedge fund will pay $23.5 million in cash, with $16.5 million and $30 million after one and five years, respectively, depending on management fees, the London-based firm said in a statement today. Connecticut, U.S.-based Silvermine, which has $3.8 billion of funds under management, will be integrated into GLG, operating under Man GLG Silvermine.
Chief Executive Officer Manny Roman has been expanding through acquisitions since he took over in February 2013. The firm, which managed $72.3 billion at the end of September, said last week it will buy fund-of-hedge fund assets from Merrill Lynch Alternative Investments, after previous acquisitions of U.S. fund-of-hedge-funds manager Pine Grove Asset Management and Numeric Holdings, a Boston-based quant manager.
The shares rose 1.5 percent to 146.90 pence at 8:54 a.m. in London. They have increased about 73 percent this year, giving the company a market value of about 2.6 billion pounds. The Bloomberg European 500 Index has decreased 0.5 percent.
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