Mallorca-based hedge fund manager Absolute Capital Management took over fellow AIM-listed North Real Estate Opportunities Fund yesterday. Financial Times

Absolute paid €12.5m (£8.5m) for a contract to run the property fund and said it planned to raise a further €100m to €200m for the fund to start its own property hedge fund.

Absolute chief executive Sean Ewing said assets under management had nearly doubled to €3.1bn in the first half of the year and expected after-tax profit to be about €30m, on turnover of €58m.

The North fund – which Absolute intends to rename – invests in Moldova, Ukraine and Romania.

Ewing said Absolute already had a pipeline of property deals in the region in which it could invest money raised.