GLG, one of the world’s biggest hedge funds, is planning to seed an oil production company and list it on the London Stock Exchange.
From Reuters:
GLG, based in London but listing its own stock in New York, intends to seed a venture called Lothian, that will be floated on the London Stock Exchange in September and then acquire oil production assets worldwide. Lothian would begin with a market value of about $500 million, said the sources, who were not authorized to speak for attribution because the venture is still in the planning phases.
As the Reuters story notes, big banks such as Morgan Stanley and Goldman Sachs are active in physical oil, but this tends to be accomplished through taking stakes in or buying existing companies.
