Gottex Fund Management and EIM merger
Arpad Busson's distinguished fund of funds company, EIM Group, has signed a deal to combine with Switzerland-based firm Gottex Fund Management.
He'll become the non-executive chairman of the brand-new company, that happened as a result of the two decade long friendship among him and the Chief Executive Officer and Chairman of Gottex Fund Management. Joachim Gottschalk, presently the Chairman and Chief Executive Officer of Gottex Fund Management will become the chief executive officer of the brand-new venture.
The brand-new company should control about $10 billion worth of investment under management by mid-2014, with the agreement being concluded at the end of 2013.
The active shareholders of Gotex Fund Management will have about 70 % of the brand-new undertaking, though the creator of EIM Group Arpad Busson of is the biggest shareholder once the agreement has been entirely completed.
Before the merger, EIM Group controlled approximately $3 billion worth of controlled resources, while Gottex Fund Management currently has 91.1 million Swiss francs worth of assets under management.
The brand-new business has produced 14 million new shares for existing shareholders in Gottex Fund Management, as it supplies a bigger base for investments. The business will focus on specific pursuits such as Asian focused financial investments, in addition to risk and commercial services.
Performance is essential, with the fresh merger offering the opportunity for both business to integrate their current headquarters. This will preserve $10-$12 million in overhead costs. Presently, EIM Group has 50 employees, 15 that are located in the capital of the United Kingdom, London. Gottex Fund Management currently employs 125 staff members, with 40 located in the capital.
It is hoped that the brand-new business will broaden the current capacity of both businesses, with the deal expected to make considerable returns by the end of 2014. Both CEOs believe that this fresh, new merger will give the boost needed for both businesses to offer a better range of investment options.
