Sat, Oct 1, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Gottex Fund Management and EIM Group to merge

Monday, December 16, 2013
Opalesque Industry Update - Gottex Fund Management Holdings Limited (Gottex) and EIM Group (EIM), two leading alternative investment managers, announce today they have reached agreement on the proposed merger of their businesses, subject to certain conditions including approval of Gottex shareholders. The transaction will establish a truly global investment management company with headquarters in Switzerland and offices in London, Boston, New York, Hong Kong and Shanghai. The fee earning assets of the combined group will be close to USD 10 billion by the first half of 2014, spanning across its investment, advisory and risk management solutions.

By combining two leading investment firms, both groups are taking a natural step towards the goal of becoming a substantial diversified asset manager of significant scale. This platform for growth, with deeper and broader capabilities, will allow the combined group to provide its clients with premier solutions in Multi-asset, Multi-manager and Asia-focused investments as well as risk and infrastructure services.

The all-share transaction is based on an exchange of shares where the EIM shareholders will receive up to 14 million newly issued Gottex shares. Gottex shareholders would own approximately 70% of the enlarged group and EIM shareholders approximately 30%. The transaction will be subject to approval of relevant regulatory authorities, as well as Gottex shareholders with regards to the issue of the new shares. Gottex and EIM believe the combination will lead to substantial operational synergies, largely through the combination of offices and systems, achieving a meaningful positive operational result once synergies are fully achieved and which should be accretive on a per share basis 12 months after completion.

Commenting, Joachim Gottschalk, Chairman and Chief Executive Officer of Gottex, stated: “We are very pleased to have reached agreement with EIM to merge our two enterprises, which will bring increased scope, economy of scale and growth opportunity to the combined entity. Our global reach and combined investment and risk management teams will offer our valued clients enhanced services and solutions for their alternative investments, risk monitoring and multi asset allocations.”

Commenting, Arpad Busson, Chairman of EIM, added: “We are proud of the merger of the EIM Group with Gottex. I have personally known Joachim Gottschalk, Gottex’s founder, for over 20 years as we both started our respective companies in the early days of the alternative investment industry. Our relationship has always been based on mutual respect and admiration. Combining our respective businesses will enable us to create a major industry player with a global footprint, built on a vibrant solutions platform offering investments in alternative and traditional strategies aimed at institutional and private investors around the world. I am convinced that this combined entity will provide us with the necessary resources to meet the growing demand of our investors and global regulators.”

Press release

bc

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: BlackRock taps Artivest for alternative investment platform partnership[more]

    Bailey McCann, Opalesque New York: BlackRock will be working with New York-based Artivest to provide a platform for broader distribution of BlackRock alternatives funds. Artivest is a technology-driven alternative investment platform that also offers brokerage services. BlackRock has approximatel

  2. Eden Rock buys Gottex stake in ERG Asset Management[more]

    Matthias Knab, Opalesque: Eden Rock Group announced the purchase of Gottex’s stake in ERG Asset Management and so the firm is now wholly owned by Eden Rock. The two firms established the joint venture in 2011 to focus on providing cost effective solutions to funds holding illiquid investments, as

  3. "Hedge fund industry needs to shrink"[more]

    Komfie Manalo, Opalesque Asia: Writing for CNBC, Josh Brown, creator of The Reformed Broker blog and financial advisor for Ritholtz We

  4. Strategy - Voyager Management wants to invest in smaller hedge funds[more]

    From Valuewalk.com: Voyager Management, a $475 million fund of funds, is looking to downsize the hedge fund’s in which they invest, looking for smaller funds with assets under management that enable the fund to be nimble. The fund is looking for noncorrelation and will consider long / short equity

  5. Asia - Quant hedge funds are China's hot new export, Europe banks return to Korean brokerage market; target debt, alternative products[more]

    Quant hedge funds are China's hot new export From Bloomberg.com: Add China’s quant shops to the list of hedge funds branching out across Asian markets. Quantitative money managers from the world’s second-largest economy are opening offshore funds at a never-before-seen pace, according to