GLG hedge-fund giant sold in reverse buyout

Date: Tuesday, June 26, 2007
Author: Toronto Star

GLG Partners LP, one of Europe's largest hedge funds, says it is selling itself in a $3.4 billion (U.S.) reverse takeover that will give it access to the U.S. stock market.

Under the deal's terms with Freedom Acquisition Holdings Inc., the combined company will be named GLG Partners Inc. and will trade on the New York Stock Exchange. GLG, which is not traded, may also seek a listing in Europe.

"This strategic transaction is an important step in building GLG's global business, affording us the opportunity to increase brand awareness and expand in major targeted markets," said Noam Gottesman, co-chief executive of GLG.

New York-based Freedom Acquisition is a "blank cheque" company, an investment vehicle that allows the parent company to raise money for acquisitions by listing on the stock exchange. Such companies reveal acquisitions after putting shares on the market.