New York (HedgeCo.net) – Luxembourg-based hedge fund Chenavari Investment Managers joined the ranks of some other highly regarded hedge funds by selling a stake in the company to alternative investment firms. In the case of Chenavari, they sold a 10% interest to Dyal Capital Partners, a division of Neuberger Berman. Dyal also has stakes in other alternative firms Blue Harbour Group, Halcyon, Jana Partners and Pinnacle Asset Management.

The deal, which was reported by eFinancial News on Wednesday, between Chenavari and Dyal makes the third notable transaction involving an alternative investment firm taking on a partner in the form of private equity investors. Just last month, Marshall Wace, a hedge fund based in the UK, sold a 24.9% stake to U.S.-based private equity firm Kohlberg Kravis Roberts. Earlier this year, private equity firm Blackstone Group took a minority stake in Magnetar Capital.

The article from eFinancial News also stated that Chenavari’s Toro Capital ABS fund had an annualized compounded return of 30% for the last three years, citing Barron’s as the source of the performance figures.

Rick Pendergraft
Research Analyst
HedgeCoVest