Goldman Sachs-backed Petershill Partners Plc, which holds minority stakes in hedge funds and private equity firms, is to delist from the London Stock Exchange and return $921m to investors, valuing the company at $4.5bn, according to a report by Bloomberg.
The firm cited low trading volumes and a limited free float as key factors in moving away from public markets. Approximately 80% of shares remain with affiliated closed-end funds, which will continue as long-term investors.
The move underscores the difficulties hedge fund investors face with publicly listed alternative asset platforms, including valuation discounts and illiquidity. Petershill’s delisting enables the firm’s hedge fund portfolio investors to realise cash while allowing affiliated funds to manage their holdings privately in a bid to optimise returns.
