GSC Partners, the $8 billion hedge fund and private equity firm, is planning to roll out a fund focusing on corporate debt and equity in the leveraged and distressed markets. The firm tapped distressed trading mavensDrew Doscher and Jeffrey Horan as managing directors to run the new fund. The two left UBS, where they were the co-heads of global distressed securities trading, with the aim of firing up a hedge fund operation earlier this year (BW, 3/1). "We've been partners for 10 years and this was something we wanted to do. We have a long-standing relationship with the partners [at GSC]," Horan said.
The new fund will involve long and short, as well as capital structure arbitrage strategies. "The new initiative will allow us to utilize various trading strategies that will leverage off of our control distressed effort," said Robert Hamwee, managing director.
There is no timeline for when the fund will be launched, according to BW sister publication Alternative Investment News. But, the firm is looking to move into this area because the strategy complements others run by the Florham Park, N.J., firm, which include controlled distressed debt investments, corporate credit and European mezzanine debt, added Carl Crosetto, managing director.
