London-listed Syndicate Asset Management, the wealth management group, said today it has sold its Guernsey based investment management company for around £1.8 billion (around $2.8 billion) to Hume Capital, following its announcement last month that such a deal was due.

The sale of Syndicate Asset Management (CI), or "Syndicate CI", will be met through a cash payment on completion of £850,000 for the goodwill of Syndicate CI, a pound-for-pound payment for the net assets of Syndicate CI at the date of completion - about £440,000 - and the writing-off of the existing inter-company loan provided by Syndicate CI to Syndicate of approximately £530,000.

Syndicate CI, which is the appointed manager of the Zenith Funds, made an operating loss of £384,000 and a reportable segment loss before tax to the group of £546,000 for the year ended 31 March 2010. Revenue for the same period was £2.69 million, the firm said in a statement.

The Zenith Funds provide individuals and financial intermediaries a range of investment funds and multi-manager investment funds available in euros, sterling and dollars and invested in multiple asset classes. The Zenith Funds total approximately £238 million as at 30 November 2010.

Hume Capital is an independently owned UK investment firm specialising in active fund management.

Last December, Syndicate Asset Management said its revenues for the six months to 30 September rose by 7.5 per cent year-over-year, to £18.45 million (around $29.05 million), boosted by the performance of its wealth management subsidiaries Ashcourt Rowan and Savoy.