Greylock Capital Associates filed for bankruptcy protection in New York as investors pulled money from the hedge fund following three consecutive years of losses.
The Chapter 11 proceedings will allow Greylock to restructure its debt and terminate its Madison Avenue office lease in Manhattan, according to a Jan. 31 filing signed by Chief Financial Officer David Steltzer.
Assets under management at the emerging markets hedge fund -- which more than halved since 2017 to $450 million at the end of 2020 -- will drop by $100 million by the end of March in the absence of new investments, according to the filing.
Greylock has cut its staff to nine people from 21 three years ago, and the firm hasn’t hired any financial or business consultants.
The hedge fund opened a small office in Stamford, Connecticut last year reducing the need for a large office in midtown Manhattan.
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