A second hedge fund manager has built up a significant stake in troubled property services firm Erinaceous.

New York-based Lampe Conway has built up a 3.8% share in the company, it emerged today.

The move comes as Fursa, another hedge fund manager which has a 19% stake in Erinaceous, is poised to call for an extraordinary meeting demanding that the current Erinaceous board be ousted.

It has lined up Moss Bros chairman Keith Hammill to head up and try to turn round the company, which last month revealed that it had breached its banking covenants and that it had made a £3.9m loss.

Erinaceous shares fell 10% to 36p today.

Lampe Conway could not be reached for comment.