Hedge Funds

Man Group announces sale of residual Lehman exposures

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Man Group has announced that it has entered into a series of transactions with Hutchinson Investors LLC, an investment entity managed by the Baupost Group, to sell the residual exposure to the Lehman estates that it acquired in July 2011 from certain GLG-managed funds.

The total consideration for the transactions is $456m, payable in cash by the buyer. Man may receive up to a further $5m if overall recoveries by the buyer exceed certain thresholds in the future. The Lehman claims were valued at $346m as at 30 June 2012.

“The transaction allows Man to benefit from the