Hedge fund manager GLG Partners agreed to acquire the U.K. asset management division of Societe Generale Asset Management, which has $8.2 billion in assets under management primarily in long-only equity strategies, according to announcements by both companies.
Terms were not disclosed. The deal is expected to close in the first quarter, pending regulatory approval.
The acquisition, which would give GLG about $25 billion in assets under management, would boost GLGs long-only offerings at a time when the hedge fund industry has experienced one of its worst years in client redemptions. GLGs assets under management fell about 30% in the nine months ending Sept. 30.
SGAM UK primarily manages active long-only equity strategies, including those focusing on the U.K., Europe, Japan, and the Middle East and North Africa. As of Sept. 30, The U.K. business contributed about 2.5% of SGAMs total worldwide assets under management.
GLG had $17 billion in assets under management as of Sept. 30, of which 15% was invested in long-only U.K. and European equity and bond funds. That would rise to about 40% once the deal is finalized, according to data from both firms.
Officials from both companies declined to provide further comment through their respective spokesmen.