20/10/2010 Author: Kapila Gohel

CAI completes second line share buyback programme

Listed fund of hedge funds firm, Castle Alternative Invest AG (CAI), has completed a share buyback programme, as it concludes a process to reduce its trading discount.   

The firm – which is listed on the Swiss Six and London Stock Exchange – initiated its buyback on 21 June. Following the programme, CAI has repurchased 2,225,464 shares with a total consideration of CHF31.9m ($33) representing 5.78% of the shares currently in issue. The average purchase price per share was CHF14.34 ($15). 

Mark White, general manager of Castle Alternative Invest AG, said: “Since the intention to list CAI in London and implement a discount control policy was announced, the discount at which the company’s shares trade has narrowed from more than 25% to around 15% and the shares are now trading in-line with the listed fund of hedge fund sector as a whole.”

He added: “CAI has a longstanding track record of delivering consistent returns with low correlation to traditional asset classes and we believe it is an attractive vehicle for investors seeking diversified exposure to hedge funds.”