Anglo-French hedge fund manager Boussard & Gavaudan will increase the size of its flagship listed fund before the end of the year, following calls from investors for it to sell more shares.

BNP Paribas and Lehman Brothers, which last November led the Amsterdam flotation of Boussard & Gavaudan's €440m ($587m) fund, will lead the capital increase, which is expected to be completed before the end of the year.