Troubled hedge Absolute Capital to demerge from Argo

The restructure is in response to the disastrous events of September 2007, when the departure of founder and co-chief investment officer Florian Homm led to a 70% share price dive in Absolute Capital Management Holdings. Absolute Capital has written to shareholders proposing to turn the alternative emerging markets manager into its own business, named Argo Group. Under the proposal shareholders will retain their existing Absolute Capital holding, but receive the same number of ordinary shares in Argo. Initially a private company, Argo is expected to be admitted to trading on AIM within s...