RNS Number : 1500Y
Crosby Asset Management Inc
28 August 2009
Crosby Asset Management Inc.
('CAM' or the 'Company')
CAM's withdrawal as partner to Apollo Multi Asset Management LLP ('Apollo')
CAM announces that it has discontinued its joint venture with Apollo Multi-Asset Management LLP, ('Apollo'), and, as a result, will withdraw as a partner with effect from 31 August 2009 and the Company will no longer have any ownership of Apollo. Apollo had, as at 31 July 2009 funds under management of £31.2 million.
Accordingly, Apollo will, repay the regulatory capital of approximately US$180,000 (approximately £110,000) that was provided by CAM in November 2008. Apollo had also been provided with a loan by the Company for general working capital purposes and Apollo has agreed to repay the balance of this loan of approximately £121,000, by offsetting amounts due to Apollo from the Company for managing certain of the Company's funds as they are received. The net proceeds from these repayments will be used by the Company for general working capital purposes.
Subject to the approval of the Financial Services Authority, which, it is expected, will be received within the next three months, Cloudy Lane Limited ('Cloudy Lane') is intending to take a controlling interest in Apollo, Cloudy Lane is a vehicle that represents the Nomura Employee Benefit Trust of which Simon Fry is a potential beneficiary. Whilst Simon Fry is a related party for the purposes of this transaction, it is not deemed a related party transaction under Rule 13 of AIM Rules as all of the applicable class tests are < 5 per cent.
CAM CEO, Simon Fry said: 'When CAM entered into the joint venture with Apollo, it was always the intention to review our on going involvement at the end of June 2009. The Board of CAM has now decided that CAM will withdraw as Apollo's partner. This decision is in accordance with our stated strategy, to continue to reduce costs and realise assets of the Company wherever possible. We wish Apollo and its team a successful future.'
Note: Apollo is a Limited Liability Partnership that was founded in September 2008 as a multi asset investment fund manager . Apollo launched its first multi asset funds, the Apollo Balanced Fund and the Apollo Cautious Fund, in November 2008 under the Non UCITS Retail Scheme (NURS) framework. Apollo is authorised and regulated by the Financial Services Authority. On a pro forma basis, Apollo's turnover and losses before tax for the six months ended 30 June 2009 were approximately £281,000 and £226,000 respectively. Apollo had a net asset value of approximately £60,000 as at 30 June 2009.
Crosby Asset Management Inc.
Simon Fry +44 (0) 20 3291 2863
Strand Partners Limited
Stuart Faulkner / James Spinney +44 (0) 20 7409 3494
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