Old Lane Partners Rises!

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Kind of! Remember Old Lane? That hedge fund Citigroup had to buy to get its hands on CEO of the Century Vikram Pandit? If you missed out on the chance to invest in it during its all-too-short two years of managing money, don’t despair. Another chance is on the horizon. Sutesh Sharma, the guy who co-founded OLP with Pandit is getting the band back together, minus Uncle Vik, who will be missed, and starting a new fund this fall.

Sutesh Sharma, the former head of proprietary trading at Citigroup is to launch his new London-based hedge fund, Portman Square Capital, with around $500m this autumn...The former Citigroup trading star was also the former head of proprietary trading at Morgan Stanley and is a close acquaintance of Citigroup chief executive Vikram Pandit, with whom he founded Old Lane Partners, one of the biggest hedge fund launches, in 2005. Old Lane was acquired by Citi in 2008 – a deal which propelled Mr Pandit to the top of the bank. Mr Sharma will be joined at Portman Square by a team of traders from Citi, many of whom he has worked with for several years. Although Citi will not be investing in the new venture, the team has left the bank on amicable terms. Those joining Mr Sharma include former Old Lane portfolio managers Lalit Das and Yusaf Khan, who will be partners in the new venture.

Sharma To Launch $500 Million Hedge Fund [FT]

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Vikram Pandit To Get Back In The Hedge Fund Saddle Again, At Some Point

Just a question of which hedge fund he'll be riding-- his own or his former Old Lane colleague's. The buzz on Wall Street is that ousted Citigroup CEO Vikram Pandit will return to the hedge-fund world. UK hedge fund Portman Square Capital declined to comment on chatter that its founder, Sutesh Sharma, is eager to nab Pandit for his new firm. Sharma, a former money manager at Pandit’s now defunct Old Lane hedge fund, launched Portman this year with $500 million...Pandit is viewed by the hedge fund community as a rainmaker due to his ties to deep-pocketed investors. “I wouldn’t be surprised if he felt the timing was right to join an existing fund . . . or start his own fund,” said Robert Olman of hedge-fund search firm Alpha Search Advisory Partners. Thinking ahead, how much do we predict Citi will pay to acquire Portman Square (or Pandit Partners) in order to lure Big Vik back, which is kind their thing? Last time around it was $800 million so they'll probably have to offer at least $2bn. Pandit Packing For London Hedges [NYP via FINalternatives]