BTG Pactual "evaluating options" for flagship hedge fund GEMM -source
By Steve Slater
LONDON Dec 14 (Reuters) - Brazilian investment bank Grupo BTG Pactual SA is "evaluating options" for its flagship hedge fund business global emerging markets and macro (GEMM), a person familiar with the matter said on Monday.
BTG Pactual is writing to investors on Monday to tell them it is considering options, and will extend a deadline for redemption notices by a month to Jan. 16 "to give all investors adequate time to understand the strategic options being evaluated," the source said. The redemption notices deadline had been Dec. 16.
Sao Paulo-based BTG Pactual is considering selling assets after its billionaire founder André Esteves was arrested in connection with a corruption probe in Brazil.
Its global hedge funds, of which GEMM is the biggest, had 26.6 billion Brazilian reais ($6.9 billion) under management at the end of September.
BTG Pactual will tell investors GEMM "has significantly reduced its risk exposure" and will continue to do so, the source said. (Reporting by Steve Slater; Editing by Sinead Cruise)
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