Alan Fournier Shuts 17-Year-Old Hedge Fund Pennant Capital (Bloomberg)
Hedge fund manager Alan Fournier is returning client capital at his $1.5 billion Pennant Capital Management after almost two decades, the latest veteran stock-picker to close his fund following struggles to make money since the financial crisis. “While I take great pride in our long term returns, especially in light of our consistent low risk portfolio structure, our recent returns have been disappointing,” Fournier wrote Tuesday to investors. “I have been frustrated by our inability to match our historical results and deliver appropriate returns for our investors.”
Global Hedge Fund Coatue in Talks to Buy Stake in Swiggy (The Economic Times)
MUMBAI|NEW DELHI: Global technology hedge fund Coatue Management is in talks with a few others to invest $50-100 million in online food delivery platform Swiggy, three people familiar with the matter said. The move comes less than two months after South African media giant Naspers and Chinese ecommerce firm Meituan-Dianping invested $100 million in the Bengaluru-based startup, underlining how pace of investment in India’s digital market is picking up again.
D.E. Shaw Group Invests in Israel-Based SaaS Insurtech Startup Atidot (CalcalisTech.com)
New York-headquartered hedge fund D. E. Shaw & Co. L.P. (The D.E. Shaw Group) invested in Israel-based SaaS insurtech startup Atidot Ltd., the company announced Wednesday. The investment was part of a $5 million Series A funding round led by venture capital firm Vertex Ventures Israel. Additional participants include Poalim Capital Markets, the investment arm of Israel’s Bank Hapoalim, and Israel-based venture capital firm Moneta Seeds Management Company Ltd.
ExodusPoint to Launch With $2 Billion-Plus (Hedge Fund Alert)
After more than a year of speculation about his fund-raising potential, Michael Gelband is on track to launch his ExodusPoint Capital with at least $2 billion – and perhaps substantially more. Gelband, whose resume includes top investment roles at Millennium Management and Lehman Brothers, plans to begin trading his ExodusPoint Partners Fund on June 1 with help from an unusually large investment team for a startup. Even $2 billion of day-one capital would place ExodusPoint among the biggest hedge fund launches since the global financial crisis. Gelband has been working on ExodusPoint since leaving Millennium about a year ago. Efforts to recruit Millennium staffers led to an arbitration dispute between Gelband and Millennium founder Izzy Englander that delayed ExodusPoint’s launch.