The Hong Kong-based fund of hedge funds company KGR Capital has been bought by LGT Capital. The purchase price is undisclosed.

KGR Capital has approximately $350 million of assets under management. KGR was formed in 2002 by John Knox, Nicholas George and Christopher Rampton and has a staff of 16 based in Hong Kong and London. The plan is for all KGR staff to remain on deck and carry on with existing duties.

KGR has three funds: its flagship, KGR Capital Asia Pacific Absolute Return Segregated Fund; KGR Capital Asian Dynamic Fund; and KGR Capital China Absolute Return. It also acts as the investment adviser to KGR Absolute Return PCC Ltd, a closed-end investment company listed on the London Stock Exchange.

The parties claim that the combined entity will constitute something greater than the sum of its parts. ôItÆs a case of two plus two equals five,ö says Knox. ôLGT liked our product base and the fact that we have a big research presence.ö

Alternatives manager LGT Capital Partners is headquartered in Pfaeffikon, Switzerland and currently manages over $17 billion in hedge fund and private-equity investments globally via its Crown and Castle alternative investment programmes. In Asia, it has offices in Hong Kong and Tokyo.