Man Group to Buy GLG Partners

May 18, 2010 Updated: May 18, 2010

Financial services firm Man Group said on Monday it would pay about $1.6 billion to acquire hedge fund manager GLG Partners for $4.50 per share in cash, a 55 percent premium over the fund’s closing share price last Friday.

The merger will create a fund with more than $60 billion in assets under management. The acquisition will close in the third quarter of 2010, the companies said.

The merger “is central to Man’s stated strategy of acquiring high quality discretionary investment management capability to broaden our range of diversified, liquid strategies for the benefit of our investors,” Man Chairman Jon Aisbitt said in a statement.