Fund of funds manager EIM, whose founder Arki Busson is credited with being one of the first hedge fund marketers, could be the latest firm in the struggling sector to consolidate, according to news reports on Tuesday morning. But an outright sale appears unlikely, people familiar with the situation told Financial News.

Busson is in talks with several asset managers with a view to selling the business, after assets fell to more than half of its $14bn peak, according to a Bloomberg report, citing four unidentified people familiar with the situation.