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Smaller is smarter for 3i

COMMENT: There is logic in the private equity firm's sale of its debt management arm

Smaller is smarter for 3i
Photo: iStock

Reducing your assets under management by more than 50% rarely looks like a good move, but there is logic in 3i Group's decision to sell its private debt division.

Shaving a hefty £8 billion off 3i's £14 billion of assets under management, the sale by the London-listed private equity firm to Middle Eastern alternatives firm Investcorp seems to fly in the face of conventional wisdom that bigger is better.

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