Launches & Closures Hedge Funds

Sandell preps credit, merger arb funds


These will be the first single strategy launches for the $2 billion multistrategy firm

Tom Sandell’s $2 billion Sandell Asset Management is preparing to launch two new funds on Jan. 4, the firm’s first single-strategy hedge funds. Castlerigg Merger Arbitrage Fund and the Castlerigg Credit Opportunity Fund will roll out with approximately $50 million each in partners’ capital.

The flagship Castlerigg Master Investments already invests in both credit and merger arbitrage but due to demand from investors to decide their own allocation to each strategy, Sandell is launching the two single-strategy funds.

Castlerigg Merger Arbitrage will have monthly liquidity, an appealing trait, believes Sandell. Castlerigg Credit fund, like