HBV has approximately $530 million in assets under management and specializes in investment strategies at the lower-risk end of the hedge fund spectrum.
The group’s product set includes
- a US Risk Arbitrage Fund,
- Hedged Distressed Fund and,
- a Multi-Strategy Fund, and
- a European Risk Arbitrage Fund
HBV’s focus on single-manager strategies complements Mellon’s existing fund-of-funds capabilities offered through London-based Mellon Global Alternative Investments Limited and allows HBV to tap new distribution channels and extend its product breadth, Mellon said in a statement.
The transaction, expected to close by the end of the second quarter, will be an all-cash deal, with initial consideration due at closing and further consideration contingent on HBV’s future performance.
HBV will be renamed Mellon HBV Alternative Strategies and operate as a Mellon Institutional Asset Management firm alongside Mellon’s other investment businesses.
Additional terms were not disclosed.