Ermitage has entered into a contractual agreement with Nexar Capital Group, whereby Nexar will acquire Ermitage Limited from Caledonia Investments plc.

Ermitage will join the Nexar Capital Group with a combined AUM of $3.5bn, an enhanced range of customised, multi-manager and single manager hedge fund products (with some offered in UCITS III format), together with additional risk management and hedge fund research capabilities.

Ermitage's UK-based expertise and network is highly complementary to Nexar's fund of hedge funds group, which operates out of the US and France. Following completion, the Group will have operations in New York, Paris, London and Jersey.

This transaction will give Ermitage's senior management team the ability to continue investing in the growth of its business and developing innovative technology as part of a strong independent platform.

Below is a summary of our announcement to clients and media. Should you require any further information regarding this announcement, please let us know.

Nexar Capital Group SCA ("Nexar"), a global alternative investment manager, today announced the acquisition of Ermitage Limited ("Ermitage"), one of Europe's pioneering alternative asset management organizations, from Caledonia Investments plc.