SkyBridge Capital Announces Strategic Relationship With Australia's Challenger Financial Services Group

- SkyBridge Also to Open London Office as Center for Sourcing Europe-based

Managers and Investors -

May 15, 2008, 01:00 ET from SkyBridge Capital

    NEW YORK, May 15 /PRNewswire/ -- SkyBridge Capital, which provides
 strategic capital to new and early-stage hedge funds, and Challenger
 Financial Services Group Limited (ASX: CGF), a leading Australian financial
 services company, today jointly announced an agreement to form a long-term
 strategic relationship focused on the launch of the first global
 institutional hedge fund seeding and alternative investment management
 platform. In conjunction with the new strategic relationship, Challenger
 will make a significant capital commitment to the SkyBridge funds.
     As part of their new strategic relationship, Challenger will support
 SkyBridge in penetrating new markets in the Australasia region to source
 both new capital as well as talented hedge fund managers. Challenger will
 make available to SkyBridge its world-class investment and due diligence
 team. In addition, Challenger's Richard Howes, Principal Executive Officer
 - Balance Sheet Asset Management, will become a member of the SkyBridge
 Investment Committee.
     Anthony Scaramucci, Managing Partner of SkyBridge Capital, said, "Over
 the past two years, we have built SkyBridge Capital into one of the leading
 strategic investors in new hedge fund managers, and today SkyBridge and its
 underlying managers have approximately $1.5 billion under management. Our
 new relationship with Challenger Financial Services Group, an established
 participant in the Australian financial services sector, will allow us to
 dramatically extend our ability to source top managers globally, broadening
 the depth of our talent pool. Also, through Challenger, we will have a
 significant new distribution channel in Australia, positioning our
 partnership to capitalize on the current and expected growth of alternative
 asset investments there."
     Richard Howes, a Challenger executive, said, "Our new relationship with
 SkyBridge Capital follows our extensive evaluation of the hedge fund
 seeding space. We believe SkyBridge has created a unique, differentiated
 platform that presents an optimal opportunity for creating outsized returns
 for investors. We are fortunate to partner with Anthony Scaramucci and
 Scott Prince, SkyBridge's Managing Partners. Anthony and Scott each bring
 over 20 years of distinguished accomplishments in the Investment Management
 industry and have a unique set of talents that differentiate SkyBridge in
 its ability to source talented investment managers, manage complex global
 risks and grow a global distribution platform. Furthermore, we believe
 their distribution capability will be critical in attracting top-tier
 talent onto the platform. We are excited to work closely together with the
 SkyBridge team to capture the significant opportunity that we believe
 exists in this arena globally."
     The transaction is subject to customary closing conditions and is
 expected to close in the second quarter of 2008.
     SkyBridge also announced today that it plans to open in the third
 quarter of 2008 a London office that will serve as the firm's center for
 sourcing Europe-based managers and investors and will continue to add to
 the firm's global footprint.
     About Challenger Financial Services Group Limited
     Listed on the Australian Stock Exchange, Challenger is a diversified
 financial services organisation. It is dedicated to providing smarter
 solutions to financial intermediaries and their clients, offering a broad
 spectrum of financial products and services with A$45 billion of assets
 under management as at 31 March 08.
     Challenger's asset management division, which has assets under
 management of A$10.4 billion as at 31 March 08, has particularly strong
 expertise in infrastructure, real estate and fixed income and continues to
 develop specialist funds for institutional and retail investors. It is also
 a proprietary investor in its own right, raising capital through retail and
 wholesale annuities and other sources to invest in assets which are under
 valued for risk or have value add potential.
     Through the development of strategic relationships with key
 international partners Colony Capital LLC, The Bank of Tokyo-Mitsubishi UFJ
 and Mitsubishi UFJ Securities, Challenger sees significant growth
 opportunities in the future.
     About SkyBridge Capital
     SkyBridge Capital is a private investment partnership that provides
 strategic capital to talented managers who are developing new or
 early-stage hedge funds. The firm's team of experienced professionals
 coordinates a global network of partners in sourcing hedge fund managers
 and providing business-building and investment-support services from its
 headquarters in New York. To date, SkyBridge Capital has made strategic
 investments in nine funds. In aggregate, SkyBridge Capital and its
 underlying managers currently have approximately $1.5 billion under
Contact: Victor M. Oviedo SkyBridge Capital Tel: 212-485-3118

SOURCE SkyBridge Capital