Hedge Fund Taconic Plans Third European Distressed Debt Vehicle

(Bloomberg) -- The New York-based hedge fund Taconic Capital Advisors is planning to start its third European fund focused on distressed debt as the coronavirus pandemic dents the earnings of companies across the region.

The firm is seeking to start the fund this year after raising $600 million for its second vehicle in 2017, according to a person familiar with the matter, who declined to specify the size of the fund that Taconic is targeting.

Taconic has also made a number of hires in London recently as part of the push, said the person, who asked not to be identified as the information is private. The firm manages more than $7 billion in assets globally.

Piergiorgio Lo Greco, a former portfolio manager at Cheyne Capital Management in London, has joined the firm as country adviser for Italy, the person said. In his new role, he'll help source and work on Italian distressed deals and special situations.

Eduardo Riera has joined as an investment associate in London with a focus on Spanish situations, according to the person. Riera previously worked on M&A at Citigroup Inc. in Madrid, the person said.

Steve Bruce, a spokesman for Taconic, declined to comment on the fund plans and hires. Riera declined to comment when contacted by Bloomberg. Lo Greco couldn't immediately be reached for a comment.

Hiring Specialists

Hedge funds across the globe are hiring specialists and raising money as they spy out opportunities to buy the debt of companies left struggling by the pandemic, which has starved them of revenue.

Taconic was founded in 1999 by former Goldman Sachs Group Inc. partners Frank Brosens and Ken Brody. It has offices in New York, London and Hong Kong with over 100 employees.

The firm also recently hired Vitaliy Ardislamov, a former distressed debt analyst at BlueMountain Capital Management and portfolio manager at Signet Capital Management. Ardislamov started in April as a director for Taconic in London, Bloomberg previously reported.