U.K.-based Artemis Investment Management LLP is trying to sell its stake in fellow investment management firm LumX Group Ltd. following heavy losses at the company, Financial News reported, citing a person familiar with the asset manager's investment process.
Artemis owns a 6.08% stake in LumX, according to S&P Global Market Intelligence data.
LumX reported a loss attributable to equity holders of the parent company of $7.0 million for 2017, compared to $7.8 million a year earlier. LumX said the loss of a client mandate in 2017 hit revenues for the year by roughly $2.2 million.
LumX Executive Chairman Arpad Busson said in the company's annual report: "The key risks to the group today are the ability to execute our strategy in the face of cash-flow pressures, replace client assets and generate new revenues."
Busson added that the hedge fund manager is "exploring strategic opportunities, alliances and synergies."