Moody’s: Man Group still under review

Alternative investment manager Man Group’s ratings are still under review for a possible downgrade, despite its acquisition of fund of hedge funds business FRM.

Rating agency Moody’s says the acquisition has “no immediate implication” for the group’s Baa2 rating.

The agency reports the deal has no immediate cash consideration as part of the acquisition deal and is relatively small compared with Man Group’s funds under mangement.

Plans to integrate the business will see the creation of the largest independent non-US based fund of hedge funds business and is expected to complete before the end of the third quarter.

Man Group’s rating had already been placed under review by the agency earlier this year.