GlobeOp settles with Archeus
19 July 2007 | 8649 views | 0
UK hedge fund administration firm GlobeOp Financial Services has "agreed in principle" to settle a damages claim filed by former client Archeus Capital Management in New York earlier this month. Financial terms of the settlement were not disclosed.
GlobeOp was forced to postpone its flotation earlier this month after being hit with the $415 million damages claim.
Archeus claimed that GlobeOp was responsible for its collapse last year and accused the administrator of"colossal failures" in reconciling billions of dollars in trades in the Animi funds that Archeus manages.
GlobeOp had denied the claims and filed a countersuit.
In today's statement GlobeOp says the undisclosed settlement "avoids the expense and management resources that would have been required by protracted litigation".
Vernon Barback, president and COO of GlobeOp, says: "The claim related to matters which took place several years ago. We are pleased that an amicable agreement has been reached and that we can now put this matter behind us."