July 31 (Reuters) - Credit Suisse Group AG is in
advanced talks to sell a private equity business to Grosvenor
Capital Management LP as the bank adapts to stricter rules for
managing capital and risk, a person familiar with the matter
said on Wednesday.
The deal, to be valued at more than $200 million in cash and
other considerations, could be announced as early as this week,
the Wall Street Journal earlier reported.
A Credit Suisse spokeswoman declined to comment while a
Grosvenor representative was not immediately available for a
The business, called Customized Fund Investment Group,
oversees about $20 billion in client assets invested in
third-party private equity funds. Chicago-based Grosvenor
Capital is a privately owned investor in hedge funds with $23
billion in client assets.
Like other investment banks affected by new regulations on
capital requirements and investment activities, Credit Suisse
has been shedding businesses it now sees as non-core.
In April, it announced it would sell its secondary private
equity business, which buys and sells stakes in private equity
funds and has $9 billion in assets under management, to
Blackstone Group LP, part of an effort to boost capital
by 15.3 billion Swiss francs ($16.25 billion) after a call from
the Swiss National Bank.